JLT Company's closing inventory included an item which has a cost of Rs 79,000 and a normal sales price of Rs 95,000.The item has been found to be defective because of which it is expected that it will be sold at a reduced price of Rs 88,000 after the item has been repaired at a cost of Rs 4,000. What should be the value of this item of inventory in the balance sheet a. Rs 84,000 b. Rs 79,000 c. Rs 73,000 d. None of the options
JLT Company's closing inventory included an item which has a cost of Rs 79,000 and a normal sales price of Rs 95,000.The item has been found to be defective because of which it is expected that it will be sold at a reduced price of Rs 88,000 after the item has been repaired at a cost of Rs 4,000. What should be the value of this item of inventory in the balance sheet a. Rs 84,000 b. Rs 79,000 c. Rs 73,000 d. None of the options
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
Chapter8: Inventories: Special Valuation Issues
Section: Chapter Questions
Problem 2MC: Moore Company uses the LIFO cost flow assumption and carries Product A in inventory on December 31,...
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JLT Company's closing inventory included an item which has a cost of Rs 79,000 and a normal sales price of Rs 95,000.The item has been found to be defective because of which it is expected that it will be sold at a reduced price of Rs 88,000 after the item has been repaired at a cost of Rs 4,000. What should be the value of this item of inventory in the balance sheet
a.
Rs 84,000
b.
Rs 79,000
c.
Rs 73,000
d.
None of the options
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