At the end of the year, Heath Company's accounting records showed that they had 60 items...

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At the end of the year, Heath Company's accounting records showed that they had 60 items in stock at a FIFO cost of $12 each. These normally sell for $30 each. However, the physical inventory count found only 50 items. What is the amount of an adjustment, if any, that must be made to the value of the inventory at year-end? Enter digits only, with no commas, decimal points, or dollar signs. Type O if no adjustment is needed. Use the information below to answer the questions that follow. Enter your answers using digits only - no dollar signs, commas, or decimal points. The business's year-end is December 31. • Cost of equipment = 120000 • Useful life in years = 10 • Residual value 0 • Date purchased = February 1, 2021 • Date of disposal = October 31. 2023 • Cash received on disposal = 85000 What is the accumulated depreciation on the date of the disposal? What is the book value of the equipment on the date of the disposal? What is the amount of the gain or loss on the disposal? If a loss, start your answer with a - sign. At the end of the year, Heath Company's accounting records showed that they had 60 items in stock at a FIFO cost of $12 each. These normally sell for $30 each. However, the physical inventory count found only 50 items. What is the amount of an adjustment, if any, that must be made to the value of the inventory at year-end? Enter digits only, with no commas, decimal points, or dollar signs. Type O if no adjustment is needed. Use the information below to answer the questions that follow. Enter your answers using digits only - no dollar signs, commas, or decimal points. The business's year-end is December 31. • Cost of equipment = 120000 • Useful life in years = 10 • Residual value 0 • Date purchased = February 1, 2021 • Date of disposal = October 31. 2023 • Cash received on disposal = 85000 What is the accumulated depreciation on the date of the disposal? What is the book value of the equipment on the date of the disposal? What is the amount of the gain or loss on the disposal? If a loss, start your answer with a - sign.

Answer rating: 100% (QA)

Solution Answer 1 The Inventory shall be recorded at either Cost Price or Market Price Net Realizabl... View the full answer