Dover plc began operations in 2019 and determined its ending

Dover plc began operations in 2019 and determined its ending inventory at cost and at LCNRV at December 31, 2019, and December 31, 2020. This information is presented below.
Cost N 12/31/19 £346,000 12/31/20 410,000 Net Realizable Value £322,000 390,000

Instructions
a. Prepare the journal entries required at December 31, 2019, and December 31, 2020, assuming inventory is recorded at LCNRV and a perpetual inventory system using the cost-of-goods-sold method.
b. Prepare journal entries required at December 31, 2019, and December 31, 2020, assuming inventory is recorded at cost and a perpetual system using the loss method.
c. Which of the two methods above provides the higher net income in each year?

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula                Ending Inventory Formula =...

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