The following information can be found in ABC Co.'s financial statements. Finished goods Work-in-process and purchased parts Raw materials Total FIFO value Less excess of current cost over stated LIFO value Inventories Retained earnings 2006 $ 251,690 245,123 136,568 633,381 62,951 $570,430 $3,526,000 2005 $ 195,360 186,432 106,789 488,581 71,186 $ 417,395 $3,159,000 Assume a tax rate of 35%. Inventories valued using the LIFO method represented approximately 80% of consolidated inventories.

The following information can be found in ABC Co.'s financial statements. Finished goods Work-in-process and purchased parts Raw materials Total FIFO value Less excess of current cost over stated LIFO value Inventories Retained earnings 2006 $ 251,690 245,123 136,568 633,381 62,951 $570,430 $3,526,000 2005 $ 195,360 186,432 106,789 488,581 71,186 $ 417,395 $3,159,000 Assume a tax rate of 35%. Inventories valued using the LIFO method represented approximately 80% of consolidated inventories.

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.23E: Unusual income statement items Assume that the amount of each of the following items is material to...

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