Functions: MIN, SUM; Formula: Subtract; Cell Referencing

Some cells are merged.

Using Excel to Value Inventory at the Lower$-$of$-$Cost or Net Realizable Value Student Work Area

Required: Provide input into cells shaded in yellow in this template. Use mathematical formulas with cell references to the Problem area or work area as indicated. Use the SUM function to add amounts, and the MIN function as indicated to determine LCNRV both with cell referencing.

PROBLEM

Super Tech Company has the following cost and net realizable value data at December $31,2024$:

Net Realizable Value

Inventory Categories Cost

Personal computers $$27,000$ $$21,500$ a$.$ Calculate the lower of cost and net realizable value valuation assuming Super Tech Company applies LCNRV to individual products.

Servers $18,00019,500$

Total solution printers $10,0008,500$

Inventory Categories LCNRV

Personal computers

Servers

Total solution printers

Total LCNRV

b$.$ What adjustment should the company record if it uses a perpetual inventory system?

Debit Credit