Data related to the inventories of Alpine Ski Equipment and Supplies is presented below:SkisBootsSupplies$75,000ApparelSelling price$170,000$148,000$101,000Cost147,000148,00065,65048,750Replacement cost116, 000129,00085,65044,750Sales commission10%10%10%10%In applying the lower of cost or net realizable value rule, the inventory of boots would be valued atMultiple Choice$96,200.$133.200.O S129,000o.$148,000

Solution.. Comparison between net realizable value and cost of boots Sales $148,000 (-)…

presented below Skis Boots Apparel $101,000 Supplies $75,000 48,750 Selling price $170,000 147,000 $148,000 Cost 148,000 65,650 Replacement cost 116,000 129,000 10% 85,650 44,750 Sales commission 10% 10% 10% In applying the lower of cost or net realizable value rule, the inventory of boots would be valued at Multiple Choice $96,200. $133.200. O S129,00o. $148,000

presented below Skis Boots Apparel $101,000 Supplies $75,000 48,750 Selling price $170,000 147,000 $148,000 Cost 148,000 65,650 Replacement cost 116,000 129,000 10% 85,650 44,750 Sales commission 10% 10% 10% In applying the lower of cost or net realizable value rule, the inventory of boots would be valued at Multiple Choice $96,200. $133.200. O S129,00o. $148,000

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 8MC: What is the conversion cost to manufacture insulated travel cups if the costs are: direct materials,...

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Data related to the inventories of Alpine Ski Equipment and Supplies is presented below: Skis Boots Apparel Supplies Selling price $ 164,000 $ 157,000 $ 116,000 $ 69,000 Cost 138,000 138,000 81,200 44,850 Replacement cost 133,000 112,000 101,200 40,850 Sales commission 10 % 10 % 10 % 10 % In applying the lower of cost or net realizable value rule, the inventory of skis would be valued at:
Data related to the inventories of Alpine Ski Equipment is shown below: Skis Boots Apparel Supplies Selling price $180,000 $150,000 $120,000 $60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10% 10% 10% 10% Normal gross profit ratio 20% 20% 15% 15% In applying the LCM rule, the inventory of skis would be valued at: In applying the LCM rule, the inventory of boots would be valued at:
13) Data related to the inventories of Alpine Ski Equipment and Supplies is presented below: Skis Boots Apparel Supplies Selling price $ 180,000 $ 140,000 $ 120,000 $ 60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10 % 10 % 10 % 10 % In applying the lower of cost or net realizable value rule, the inventory of skis would be valued at: A) $162,000. B) $128,000 C) $120,000. D) $180,000.
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15) Data related to the inventories of Alpine Ski Equipment and Supplies is presented below: Skis Boots Apparel Supplies Selling price $ 180,000 $ 140,000 $ 120,000 $ 60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10 % 10 % 10 % 10 % In applying the lower of cost or net realizable value rule, the inventory of apparel would be valued at: A) $108,000. B) $90,000. C) $110,000. D) $99,000.
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