The following specifies the requirements for Case Assignment #$2.$ This assignment must be

submitted at the beginning of the class period on Thursday, November $21.$ Any assignment

submitted late will incur a substantial penalty.

The case submitted must be each student$$s own work; collaboration among students in

completing the case is not permitted $($see the course syllabus for a further description of the

Academic Dishonesty policy$).$ Each case solution must be printed from Excel. Handwritten

work will not be accepted and, if submitted, will not be graded. You must include all

supporting calculations with your solutions and these supporting calculations must be

prepared with an Excel spreadsheet. You must submit one printed copy of the Excel

spreadsheet which contains your case solution and a second printed copy displaying the

formulas contained in each cell of your spreadsheet.

Excel Case #$2$

Raider Industries must follow the Lower of Cost or Market $($LCM$)$ Rule for its inventory. The

following information was taken from Raider$$s inventory records as of December $31,2024$:

Selling Replacement

Product ID Quantity Cost Price Cost

Number on Hand per Unit per Unit per Unit

Item #$1016,500$ $$52\mathrm{.}00$ $$47\mathrm{.}00$ $$46\mathrm{.}00$

Item #$1029,00022\mathrm{.}0026\mathrm{.}0027\mathrm{.}00$

Item #$1033,000122\mathrm{.}00146\mathrm{.}00108\mathrm{.}00$

Item #$1042,000152\mathrm{.}00144\mathrm{.}00120\mathrm{.}00$

Item #$1053,20080\mathrm{.}00106\mathrm{.}0082\mathrm{.}00$

Item #$2015,00084\mathrm{.}00108\mathrm{.}0080\mathrm{.}00$

Item #$2022,20078\mathrm{.}0084\mathrm{.}0075\mathrm{.}00$

Item #$2032,000112\mathrm{.}00150\mathrm{.}00110\mathrm{.}00$

Item #$2046,000110\mathrm{.}00120\mathrm{.}00121\mathrm{.}00$

Raider has the following costs to sell associated with all of its products:

$1.$ Sales commission of $5\%$ of the selling price for each product

$2.$ Packaging and delivery costs of $5\%$ of the cost of each product

Also, Raider$$s normal profit margin is $15\%$ of selling price for all of its products.

Requirements:

Complete each of the following independent requirements:

a$)$ Determine the carrying value of inventory at $12/31/24$ assuming that Raider applies the LCM

Rule to each specific product in its inventory. Also, assuming that Raider would record any

loss recognized as a separate line item in its income statement, determine the amount of the loss

$($if any$)$ that Raider would record for $2024.$

b$)$ Determine the carrying value of inventory at $12/31/24$ assuming that Raider applies the LCM

Rule to its total inventory. Also, assuming that Raider would record any loss recognized as a

separate line item in its income statement, determine the amount of the loss $($if any$)$ that Raider

would record for $2024.$