Determine the inventory balance Company should report on the balance sheet at December 31, Year 1.
Determine the inventory balance Company should report on the balance sheet at December 31, Year 1.
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter6: Receivables And Inventories
Section: Chapter Questions
Problem 6.5P: Lower-of-cost-or market inventory Data on the physical inventory of Moyer Company as of December 31,...
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9 Company reported to following information on its two inventory items on December 31, Year 1.
| Item | Cost | Net Realizable value | Replacement cost | Net Realizable value - normal profit |
| A | $58,000 | $60,000 | $55,000 | $51,000 |
| B | 61,000 | 62,000 | 65,000 | 58,000 |
Company uses the first-in, first-out (FIFO) inventory cost flow assumption and applies
Determine the inventory balance Company should report on the
Note: Give your answer using dollar signs and commas but no decimal points (cents). Example: $12,345
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