a. Jeri Company sells three different categories of tools (small, medium and large). The cost and market value of its inventory of tools are as follows.

Determine the value of the company's inventory under the lower-of-cost-or-market approach.
b. Early in 2017, Fedor Company switched to a just-in-time inventory system. Its sales and inventory amounts for 2016 and 2017 are shown below.

Determine the inventory turnover and days in inventory for 2016 and 2017. Discuss the changes in the amount of inventory, the inventory turnover and days in inventory, and the amount of sales across the 2 years.

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Small Medium Large Cost 64,000 290,000 152,000 Market $ 61,000 260,000 167,000 2016 2017 Sales revenue Cost of goods sold Beginning inventory Ending inventory $3,120,000 $3,713,000 ,200,000 1,425,000 210,000 90,000 170,000 210,000