9. At year-end, Julie Company reported ending inventory at P3,000,000, and the allowance for inventory write downbefore any adjustment at P150,000.Product 1Product 2Product 3Product 4Historical costReplacement costSales priceNet realizable valueNormal profit800,000900,0001,200,000550,000250,0001,000,0001,200,0001,300,0001,100,000150,000700,0001,000,0001,250,000950,000300,000500,000600,0001,000,000350,000300,000What amount of loss on inventory writedown should be included in cost of goods sold?a. 100,000b. 200,000C. 400,000d. 250,000

Name: 9. At year-end, Julie Company reported ending inventory at P3,000,000
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Description: 9. At year-end, Julie Company reported ending inventory at P3,000,000, and the allowance for inventory write downbefore any adjustment at P150,000.Product 1Product 2Product 3Product 4Historical costReplacement costSales priceNet realizable valueNorm

Total Historical cost of inventory = P3,000,000 Total Replacement cost of inventory = P3,700,000…

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At year-end, Julie Company reported ending inventory at P3,000,000, and the allowance for inventory write down before any adjustment at P150,000. Product 1 800,000 900,000 1,200,000 550,000 250,000 Product 3 700,000 1,000,000 1,250,000 950,000 300,000 Product 2 Product 4 Historical cost Replacement cost Sales price Net realizable value Normal profit 1,000,000 1,200,000 1,300,000 1,100,000 150,000 500,000 600,000 1,000,000 350,000 300,000 What amount of loss on inventory writedown should be included in cost of goods sold? a. 100,000 b. 200,000 c. 400,000 d. 250,000

At year-end, Julie Company reported ending inventory at P3,000,000, and the allowance for inventory write down before any adjustment at P150,000. Product 1 800,000 900,000 1,200,000 550,000 250,000 Product 3 700,000 1,000,000 1,250,000 950,000 300,000 Product 2 Product 4 Historical cost Replacement cost Sales price Net realizable value Normal profit 1,000,000 1,200,000 1,300,000 1,100,000 150,000 500,000 600,000 1,000,000 350,000 300,000 What amount of loss on inventory writedown should be included in cost of goods sold? a. 100,000 b. 200,000 c. 400,000 d. 250,000

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 16E: Dollar-Value LIFO A company adopted the LIFO method when its inventory was 1,800. One year later its...

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