This data is for selected inventory items at Office Supply Company:

INSTRUCTIONS
Determine the amount to be reported as the inventory valuation at cost or market, whichever is lower, under each of these methods:

1. Lower of cost or market for each item separately.
2. Lower of total cost or total market.
3. Lower of total cost or total market by group.
Analyze:
Which valuation method will yield the highest net income?

Transcribed Image Text:

Quantity Unit Cost Market Value Printer Cartridges Item 119 Item 120 Item 121 Fax Machines Item 210 Item 211 Item 212 70 80 110 S 36.00 29.75 33.00 S 36.50 26.50 28.50 25 20 19 96.00 02.00 235.00 9.00 196.00 220.00