Kumar Inc. uses a perpetual inventory system. At January 1, 2020, inventory was $214,000,000 at both cost and net realizable value. At December 31, 2020, the inventory was $286,000,000 at cost and $265,000,000 at net realizable value. Prepare the entry under (a) the cost-of-goods-sold method and (b) the loss method.

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A: Using LIFO method, the inventory at last would be sold first and old inventory would be in ending…

Q: Crane Company uses the LCNRV method, on an individual-item basis, in pricing its inventory items.…

A: Working:   Item D Item E Item F Item G Item H Item I Selling price (A) $ 122.00…

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Q: On January 1, 2022, Twice Inc. has an inventory account has a balance of P450,000. During the year,…

A: Cost of goods sold = Opening inventory + Purchases during the period - Closing inventory  Inventory…

Q: In 2017, Blue company adopted the Dollar-Value LIFO method for externally reporting inventory. The…

A: Dollar value LIFO method: This method is different model for the last-in first layering model. Under…

Q: sold? IJUN Company sells five kinds of products and reports its inventory at Lower of Cost and Net…

A: Inventory is values at cost of realizabe value which ever is lower, but the same is understood by…

Q: Yaya Melody Company uses the retail inventory method to estimate its inventory for interim…

A: LCM or the lower of cost or market method is used to value a company’s inventory. The inventory is…

Q: Kumar Inc. uses a perpetual inventory system. At January 1, 2017, inventory was $214,000,000 at both…

A: Net realizable value:   Net realizable value is defined as the amount from the sale of asset after…

Q: On January 1, 2021, the National Furniture Company adopted the dollar-value LIFO method of computing…

A: Inventory is the current assets of the company that is used in the production process.

Q: Moss Company has determined its December 31,2019 inventory on a FIFO basis to be P4,000,000.…

A: LCM or the lower of cost or market method is used to value a company’s inventory. The inventory is…

Q: At December 31, 2020, the following information was available from Sunland Co.'s accounting records:…

A: Ending inventory at cost = Inventory value * Cost to retail ratio

Q: On January 2020, Roel Corp. Has th following inventory…

A: FIFO method says that first in first out method in which inventories purchased first will be sold…

Q: Skysong Inc. uses a perpetual inventory system. At January 1, 2020, inventory was $213,418,700 at…

A: Allowance to Reduce Inventory to NRV = inventory  at cost - Inventory at realizable value =…

Q: Riegel Company uses the LCNRV method, on an individual-item basis, in pricing its inventory items.…

A: As per LCNRV rule, inventory has to be valued at Lower of Cost or Net Realisable Value Net…

Q: At the beginning of 2021, a company adopts the dollar-value LIFO inventory method for its one…

A:

Q: During the year ended December 31, 2020, The Zuckerberg Company purchased inventory for $500 and…

A: Cost of Goods Sold :— Cost of goods sold is the total amount your business paid as a cost directly…

Q: Mercury Company has only one inventory pool. On December 31, 2021, Mercury adopted the dollar-value…

A: Solution: To compute dollar value LIFO inventory, first we compute  price index for every year by…

Q: . The inventory at January 1, 2019, had a retail value of $39,000 and a cost of $31,130 based on the…

A: Solution: Raleigh Department Store LIFO Retail Method   Cost   Retail Cost to Retail ratio…

Q: On January 1, 2018, the Haskins Company adopted the dollar-value LIFO method for its one inventory…

A:

Q: Kumar Inc. uses LIFO inventory costing. At January 1, 2020, inventory was $214,000 at both cost and…

A:

Q: Mercury Company has only one Inventory pool. On December 31, 2021, Mercury adopted the dollar-value…

A: The dollar value method to valuate the LIFO inventories , is a method which determines the cost by…

Q: On January 1, 2018, the Taylor Company adopted the dollar-value LIFO method. The inventory value for…

A: 1. Find the value of inventory at the current cost 2.  Convert it to base year cost 3. Then apply…

Q: At December 31, 2020, the following information was available from HIBISCUS Company's accounting…

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Q: iegel Company uses the LCNRV method, on an individual-item basis, in pricing its inventory items.…

A: Solution: The net Realizable value of each item should be calculated as follows: Product…

Q: Using the LCNRV rule, determine the proper per-unit value for balance sheet reporting purposes for…

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Q: On January 1, 2021, the Haskins Company adopted the dollar-value LIFO method for its one inventory…

A: LIFO: Under this method, merchandise purchased last were used initially for sale or production…

Q: On January 1, 2020, Temple Company adopted the dollar-value LIFO method for its one inventory pool.…

A: The question is based on the concept of Financial Accounting.

Q: Waterway Company uses a periodic inventory system. Details for the inventory account for the month…

A: Ending inventory is the cost of things on hand at the end of the reporting period. For a corporation…

Q: During January 2020, ABC Company which maintains a perpetual inventory system, recorded the…

A: Introduction: Under the moving average method of inventory valuation, cost of sale as well as cost…

Q: As a result of its annual inventory count, Bridgeport Corp. determined its ending inventory at cost…

A: Inventory can be referred to as the assets which are held by an entity for the purpose of re sale or…

Q: On January 1, 2021, the Haskins Company adopted the dollar-value LIFO method for its one inventory…

A: LIFO -  LIFO method uses inventory that is purchased last. The LIFO method is used for perishable…

Q: ABC Company uses the retail inventory method to estimate its inventory for interim financial…

A: Ending inventory refers to the stock value which remains at the end of the fiscal year or the year…

Q: Bramble Company uses the LCNRV method, on an individual-item basis, in pricing its inventory items.…

A: The amount associated with the goods in inventory at the end of an accounting period is known as…

Q: In 2021, Hopyard Lumber changed its inventory method from LIFO to FIFO. Inventory at the end of 2020…

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Q: Maxwell Corporation has the following inventory information at the end of the year:Using the lower…

A: In this numerical has covered the concept of Inventory Valuation .

Q: During 2020, Harmony Co. sold $520,000 of merchandise at marked retall prices. At the end of 2020,…

A: Particulars At Cost At Retail Beginning Inventory  $       127,600  $       256,800 Net…

Q: On December 31, 2021, ECHO Company appropriately changed its inventory valuation method to the FIFO…

A: Solution Introduction When there is change in the accounting method the effect of the change shall…

Q: The inventory records of Kuffel Co. reflected the following information for the year ended December…

A: The inventory can be valued using various methods as LIFO, FIFO and average method. FIFO stands for…

Q: Prepare the journal entries required at December 31, 2020, and December 31, 2021, assuming inventory…

A: Hello, since the student has posted multiple requirements, only the first two are answerable. Thank…

Q: Lol Company’s inventory account balance on December 31, 2019 was 360,000 and 30,000 of those goods…

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Q: Goddard Company has used the FIFO method of inventory valuation since it began operations in 2018.…

A: Lets understand the basics. When there is change in closing stock valuation policy from onw method…

Q: In 2021, Hopyard Lumber changed its inventory method from LIFO to FIFO. Inventory at the end of 2020…

A: The cost of goods sold is the difference between total units available for sale and ending…

Q: Using the LCNRV rule, determine the proper unit value for balance sheet reporting purposes at…

A: Lower-of-cost or net realizable value (LCNRV): It is a method of valuing inventory under which…

Q: Esquire Inc. uses the LIFO method to report its inventory. Inventory at January 1, 2021, was…

A: Last-In, First-Out (LIFO):   In Last-in-First-Out method, the cost of last purchased items are sold…

Q: Encantadia Company had the following inventories on January 1, 2020: Inventory Cost Amihan 725,200…

A:

Q: On January 1, 2021, Badger Inc. adopted the dollar-value LIFO method. The inventory cost on this…

A: Dollar-value LIFO method: In this method, the valuation of inventory is calculated on the monetary…

Q: Tamarisk Inc. uses a perpetual inventory system. At January 1, 2020, inventory was $211,116,400 at…

A: Allowance to reduce inventory to market =   Ending inventory at cost - Ending inventory at…

Q: The Ryan Corporation uses the periodic inventory method. The following data were available for the…

A: LIFO Reserve: LIFO reserve is the difference in value of inventory calculated using LIFO and FIFO…

Q: Lithowanderer Company used the retail method to estimate inventory. Data relating to the inventory…

A: Retail inventory method:  Under this method, the closing stock of inventory is measured using cost…