If the cost of an item of inventory is $52.00 and the current replacement cost is $70.00, what is the amount included in inventory according to the lower of cost or market? Select the correct answer. A. $18.00 B. $122.00 C. $52.00 D. $70.00

Q: Using the lower of cost or market, what should the total inventory value be for the following items:…

A: Item A cost=Quantity×Cost per unit=186×$6=$1,116

Q: Determine the cost of the 2020 ending inventory under both (a) the conventional retail method and…

A:

Q: On the basis of the following data, determine the value of the inventory at the lower of cost or…

A: Inventory refers to the value of stock which is the goods and materials quantity that a business…

Q: 1- Hani has an inventory at 1/1/2020 of €60,000 and purchases during 2020 of €280,000, both at cost…

A: Opeining inventory + purchase = Cost of Sales + Closing inventory

Q: If the cost of an item of inventory is $60 and the current replacement cost is $75, the amount…

A:

Q: If Wrecking Ball uses a periodic inventory system, the cost of the inventory using the periodic…

A: Introduction: Average cost method is one of the method of inventory valuation. While applying…

Q: On the basis of the following data, determine the value of the inventory at the lower of cost or…

A: As per US GAAP (Generally accepted accounting principles), inventory is required to valued at lower…

Q: Caminas has the following products in inventory at the year end. Product Quantity Cost Selling…

A: We have the following information: Product : AQuantity: 1,000Cost: $40Selling Price: $55Selling…

Q: Wildhorse Inc. uses the conventional retail method to determine its ending inventory at cost. Assume…

A: The ending inventory is the inventory in hand with the business.

Q: Lower-of-Cost-or-Market Method On the basis of the following data, determine the value of the…

A: Using LCM method, the inventory is valued at lower of the value between market value and cost value.…

Q: Compute ending merchandise inventory, cost of goods sold, and gross profit using the FIFO inventory…

A: Calculate cost of goods sold and ending inventory for FIFO method:

Q: Lower-of-Cost-or-Market Method On the basis of the data shown below:   Item Inventory Quantity…

A: Lower-of-cost-or-market: The lower-of-cost-or-market (LCM) is a method which requires the reporting…

Q: unland Inc. uses the conventional retail method to determine its ending inventory at cost. Assume…

A: ending inventory value at cost=ending inventory retail*cost to retail ratio

Q: Determine (1) the ending inventory and (2) the cost of goods sold under each of the assumed cost…

A: Inventory: It refers to the items held by an organization which were in various forms like raw…

Q: Lower-of-Cost-or-Market Method On the basis of the following data, determine the value of the…

A: Lower of cost or Market method: In this method taking the values which ever is less either market…

Q: What is the estimate of ending inventory using the dollar-value LIFO retail method?

A: Beginning inventory layer at base year retail = Beginning inventory at retail ÷ Base cost index…

Q: Given the following:   Numberpurchased Costper unit Total January 1 inventory 40 $4 $160…

A: Finished goods inventory: These inventories are completely ready for sale after the completion of…

Q: If inventory was purchased for $2 288 inclusive of GST, what would the GST amount be?

A: Goods and Services Tax (GST) : GST is a summation of all indirect taxes which a customer have to pay…

Q: From the following, calculate the cost of ending inventory and cost of goods sold for the LIFO…

A: LIFO is last in first out method for inventory valuation, which says that inventory purchased at…

Q: Given the following:   Numberpurchased Costper unit Total January 1 inventory 40 $4 $160…

A: Given information Date units per unit cost Amount ($) 1-Jan 40 $4 $160 1-Apr 60 $7 $420…

Q: From the following, calculate the cost of ending inventory and cost of goods sold for the FIFO…

A: Introduction: FIFO: FIFO stands for First in First out which means first received inventory to be…

Q: If beginning inventory is $40,000, purchases are $215,000, and ending inventory is $35,000, what is…

A: Cost of goods sold (COGS) refers to the direct costs of producing the goods sold by a company. This…

Q: The Shill Company uses the dollar-value LIFO method for valuing inventory. The following inventory…

A: Year 2 value on the basis of base year=Year 2 inventory×Price index year 1Price index year…

Q: The current period's ending inventory is: Multiple Choice The next period's beginning inventory. The…

A: Cost of goods sold = Beginning inventory + Net purchases - Ending inventory

Q: mpany P has the following inventory information: Date cember 31, 2021 cember 31, 2022 B. $112,884 C.…

A: LIFO stands for Last In First Out.  Dollar value LIFO method is method of inventory valuation where…

Q: Project the average inventory balance in Year X and use it to compute the implied ending inventory…

A: The term sales revenue represents gross earnings generated by selling goods and services in the…

Q: The Alpha Company uses the retail inventory method for valuation of its inventory. If an item had a…

A: Formula: Price change = Final price - initial price Initial price to be deducted from final price to…

Q: . Compute the cost of the ending inventory under the FIFO method. Round the cost-to-retail ratio to…

A: Introduction:- FIFO means First-in-first-out It is one of the inventory valuation method. As per…

Q: Lower-of-Cost-or-Market Method On the basis of the data shown below:   Item InventoryQuantity…

A: If the value of the inventory falls below its original cost before a company can sell it, companies…

Q: Determine the cost of the 2020 ending inventory under both (a) the conventional retail method and…

A: (a.) Ending inventory using the conventional retail method: Particulars At cos($) At retail($)…

Q: Cullumber uses the conventional retail method to determine its ending inventory at cost. Assume the…

A: Cost to retail ratio = (Merchandise available for sale at cost / Merchandise available for sale at…

Q: On the basis of the following data, determine the value of the inventory at the lower of cost or…

A: The lower cost or market method is used for the valuation of inventory, where the inventory is…

Q: Using the lower of cost or market, what should the total inventory value be for the following items:…

A: Item Inventory quantity Unit cost price Unit market price Total cost price Total market price A…

Q: The value of ending inventory rounded to the nearest dollar using average cost is (R« places.) Oa.…

A:

Q: The following items are related to the inventory (OMR). 1- Purchase price 18000 2- Abnormal waste…

A: In order to write down inventory, a component of the inventory asset must be charged to expenditure…

Q: Ivanhoe uses the conventional retail method to determine its ending inventory at cost. Assume the…

A: Cost-to-Retail percentage = Goods available for sale at cost / Goods available for sale at retail…

Q: iven the following data, calculate the cost of ending inventory using the average cost method.…

A: Inventory valuation:          For calculation of accurate net income, ascertainment of accurate…

Q: Using the lower of cost or market, what should the total inventory value be for the following items:…

A: Value of inventory = Lower of Total cost price and Total market price

Q: beginning inventory is $1,998, ending inventory is $1,407 and cost of goods sold is $11,158, how…

A: Cost of goods sold (COGS) The cost of goods sold (COGS) is any direct cost related to the production…

Q: From the following, calculate the cost of ending inventory and cost of goods sold for the FIFO…

A: FIFO (First-In-First-Out) is a way of inventory valuation wherein the goods which are purchased…

Q: What is the cost of goods sold for May using a LIFO inventory costing method in a perpetual…

A: Last in first out (LIFO) is a method used to account for inventory. Under LIFO method, the costs of…

Q: Compute the cost of the ending inventory and the cost of goods sold under FIFO, LIFO, and…

A: FIFO METHOD:— It stands For First in First Out. In this Method Firstly Beginning Inventory is used…

Q: If beginning inventory is $200 and purchases are $800,which of the following could be true?a. Ending…

A: Goods available for sale = Beginning inventory + Purchases = $200 + $800 = $1,000.

Q: The accountant for Murphy Company prepared the following analysis of its inventory at year end: Item…

A: Under the lower-of-cost-or-market method, the cost that is lower between both the costs is…

Q: Lower-of-Cost-or-Market Method On the basis of the data shown below:   Item InventoryQuantity…

A: Calculation of value of inventory using lower of cost or market value:

Q: If the purchases total P240,000 and the ending inventory is bigger than the beginning inventory by…

A: Cost of goods sold  = opening stock  + purchases  - closing stock

Q: (a), Your answer is partially correct. Try again. Compute the cost of the ending inventory and the…

A: FIFO method: The cost of ending inventory = $9,000 Cost of goods sold = Opening stock + Purchases -…

Q: On the basis of the following data, determine the value of the inventory at the lower of cost or…

A: At the time of evaluating the inventory, the cost or market value whichever is lower is taken into…

Q: Sunland uses the conventional retail method to determine its ending inventory at cost. Assume the…

A: Ending inventory is the value which is recorded at the end of accounting period in the financial…

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.