Lower of Cost or Market Method On the basis of the data shown below Item Inventory Quantity Unit Cost Price Unit Market Price Raven 10 1,200 $115 $112 Dove 23 6,500 17 22 Determine the value of the inventory at the lower of cost or market (Note Apply lower of cost or market to each inventory item, as shown in Exhibit 10 ) $ FIFO and LIFO Costs Under Perpetual Inventory System The following units of a particular item were available for sale during the year Beginning inventory 3,600 units at $4 00 Sale 2,400 units at $8 00 First purchase 8,000 units at $4 20 Sale 6,000 units at $8 00 Second purchase 7,500 units at $4 40 Sale 5,500 units at $8 00 The firm uses the perpetual inventory system, and there are 5,200 units of the item on hand at the end of the year a What is the total cost of the ending inventory according to FIFO $ b What is the total cost of the ending inventory according to LIFO $

The Answer is in the image, click to view ...

Question: Lower-of-Cost-or-Market Method On the basis of the data shown below: Item Inventory Quantity Unit Cost Price Unit Market Price Raven 10 1,200 $115 $112 Dove

Lower-of-Cost-or-Market Method

On the basis of the data shown below:

Item	Inventory Quantity	Unit Cost Price	Unit Market Price
Raven 10	1,200	$115	$112
Dove 23	6,500	17	22

Determine the value of the inventory at the lower-of-cost-or-market. (Note: Apply lower-of-cost-or-market to each inventory item, as shown in Exhibit 10.) $_______

FIFO and LIFO Costs Under Perpetual Inventory System

The following units of a particular item were available for sale during the year:

Beginning inventory	3,600 units at $4.00
Sale	2,400 units at $8.00
First purchase	8,000 units at $4.20
Sale	6,000 units at $8.00
Second purchase	7,500 units at $4.40
Sale	5,500 units at $8.00

The firm uses the perpetual inventory system, and there are 5,200 units of the item on hand at the end of the year.

a. What is the total cost of the ending inventory according to FIFO? $_______

b. What is the total cost of the ending inventory according to LIFO? $_______

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

-Dicarbonyl compounds condense with aldehydes and ketones that do not undergo self-aldol reaction. The products are ,-unsaturated dicarbonyl compounds, and the process goes by the colorful name of...

1. Lower-of-Cost-or-Market Method On the basis of the data shown below: Item Inventory Quantity Unit Cost Price Unit Market Price Raven 10 1,200 $115 $112 Dove 23 6,500 17 22 Determine the value of...

On the basis of the data shown below: Item Inventory Quantity Unit Cost Price Unit Market Price Raven 10 1,200 $115 $112 Dove 23 6,500 17 22 Determine the value of the inventory at the...

Lower-of-Cost-or-Market Method On the basis of the data shown below: Item Inventory Quantity Unit Cost Price Unit Market Price JFW1 6,330 $10 $11 SAW9 1,140 36 34 Determine the value of the inventory...

Lower-of-Cost-or-Market Method On the basis of the data shown below: Item Inventory Quantity Unit Cost Price Unit Market Price Raven 10 1,200 $115 $112 Dove 23 6,500 17 22 Determine the value of the...

Lower-of-Cost-or-Market Method On the basis of the data shown below: Item Inventory Quantity Cost per Unit Market Value per Unit (Net Realizable Value) Raven 10 1,700 $163 $159 Dove 23 9,200 24 30...

Assignment/takeAssignment Main.do?invoker=8take AssignmentSessionLocator=&inprogress=false Printem eBook Show Me How Lower-of-Coutor Market Method On the basis of the data shown below: Inventory Item...

On the basis of the following data, determine the value of the inventory at the lower-of-cost-or-market by applying lower-of-cost-or-market to each inventory item, as shown in Exhibit 10. Item...

You are evaluating the Home Net project under the following assumptions: Sales of 50,000 units in year 1 increasing by 55,000 units per year over the life of the project, a year 1 sales price of $...

Question 16 The communications management plan varies with the needs of the project. True False Question 17 Which question is typically addressed by a project forecast? 2 pts How comfortable are...

The semi - annual, 7 - year bonds of Kia , Inc. are selling at par and have an annual yield of 6 . 6 0 % . What is the amount of each interest payment on a $ 1 , 3 0 0 Kia bond?

9. (15 points) A company is considering a new project that requires an investment of \$5 million. The project is expected to generate cash flows of $2 million in year 1,$3 million in year 2, and $4...

What is the importance of training employees? What type of training have you received as an employee? Was it successful? Have you ever trained another employee? cussion Boards

3. Assess your goals for employment, and then design (or revise) a rsum for the job you are most interested in. Use the guidelines in this chapter to make it clear and action-oriented. Prepare...

4. Create a questionnaire that you will use the next time you visit a physician. Focus your questions on what is already known about your condition, and what you want to know about possible...