The inventory of Wildhorse Company on December 31, 2020, consists of the following items. Part   Quantity   Cost per Unit   Net Realizable Value 110     660   $128.00   $135.00 111     1,040   81.00   70.00 112     540   108.00   103.00 113     210   229.50   243.00 120     410   277.00   281.00 121 a   1,700   22.00   1.00 122     280   324.00   317.00 a Part No. 121 is obsolete and has a realizable value of $1.00 each as scrap. (a) Determine the inventory as of December 31, 2020, by the LCNRV method, applying this method to each item.   (b) Determine the inventory by the LCNRV method, applying the method to the total of the inventory.

Q: At December 31, 2021, Bosan Corporation has 4,900 units of Model 63 and 3,500 units of Model 64 in…

A: The inventory value is calculated as lower of cost or Net realizable value.

Q: The records of Rami co. show the following data on June 30, 2020, During the month inventory Sold on…

A: Average Method:-It is the cost calculated by dividing the total cost by the total number of units.…

Q: Presented below are selected account balances for Bonita Co. as of December 31.2020. Inventory…

A: Closing entries are the journal entries prepared at the end of an accounting year to transfer the…

Q: 19. On January 2020, Roel Corp. Has the following inventory purchases. Units January 5,750 5,100…

A: Weighted average method is a method of inventory valuation in which weighted average cost of…

Q: During 2021, a company sells 470 units of inventory for $94 each. The company has the following…

A: Average cost per unit = Cost of goods available for sales / Total units available for sale = $41,053…

Q: The dollar-value LIFO method was adopted by Crane Corp. on January 1, 2020. Its inventory on that…

A: ENDING INVENTORY USING DOLLAR - VALUE LIFO METHOD : = INVENTORY LEVEL / PRICE LEVEL

Q: ANC Company had the following transactions: Beginning inventory, 200 at P5 per unit; purchased on…

A: The Numerical has covered the concept of the Moving Average method For Estimating Ending Inventory…

Q: The inventory of Oheto Company on December 31, 2020, consists of the following items. Part…

A: LCRNV method: This method refers to the lower-of-cost-and-net realizable value. Inventories are…

Q: At May 1, 2020, Marigold Company had beginning inventory consisting of 160 units with a unit cost of…

A: Inventory is the current assets represents under the head current asset in the balance sheet of the…

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

A: Under the periodic inventory system, the cost of goods is calculated at the end of the period, where…

Q: Hall Company’s beginning inventory and purchases during the fiscal year ended December 31, 20--,…

A: Hey, since there are multiple questions posted, we will answer first question. If you want any…

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

A: Periodic Inventory system is a system of maintaining inventories at periodic level. Whereas in…

Q: The inventory of Oheto Company on December 31, 2020, consists of the following items. Part…

A: Solution: Part No. Quantity Per Unit Cost Market Total Cost Total Market Lower of Cost or Market…

Q: Sunland Company had the following inventory transactions occur during 2022:         Units…

A:

Q: During 2021, a company sells 460 units of inventory for $87 each. The company has the following…

A: To use the weighted average model, one divides the cost of the goods that are available for sale by…

Q: The inventory of Wildhorse Company on December 31, 2020, consists of the following items. Part…

A: LCNRV method states that inventory should be valued at cost or Net realizable value which ever is…

Q: The inventory of Carla Vista Company on December 31, 2020, consists of the following items. Cost per…

A: LCNRV - Lower of cost and net realizable value, applying this method for each item value of…

Q: Tatum Company has four products in its inventory. Information about the December 31, 2021, inventory…

A: Lets understand the basics. As per IAS 2 "Inventories", inventory at the year end needs to be valued…

Q: Dunk Company adopted the dollar-value LIFO inventory method on 12/31/2020 and uses one inventory…

A: The following are the answers:   1. The price index for 2021 is \$4.25. 2. The ending inventory for…

Q: The dollar-value LIFO method was adopted by Crane Corp. on January 1, 2020. Its inventory on that…

A: Inventory under dollar-value LIFO method will be value of inventory purchased first.

Q: Whispering, Inc, uses the dollar-value LIFO method of computing its inventory. Data for the past 3…

A: The inventory valuation method used to evaluate the closing inventory and cost of goods sold on the…

Q: ANC Company had the following transactions: Beginning inventory, 200 at P5 per unit; purchased on…

A: Moving Average Method is one the Inventory Valuation Method. Unit cost keep change as new Inventory…

Q: Sheffield inventory turnover ratio in 2022 was

A: Inventory Turnover ratio =Cost of Goods Sold/Average Inventory

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

A: Under periodic method, the units are valued at last , without considering time period of sale. Under…

Q: 18. On January 2020, Roel Corp. Has th following inventory purchases. January Units Amount P7,500…

A: FIFO means where the goods purchased first will be sold first and closing inventory will consist of…

Q: 10. On December 31, 2020, ABC Company provided the following information: Cost Retail Inventory,…

A: Under retail method of inventory, we need to calculate cost-to-retail ratio in order to compute the…

Q: The following information applies to Alberta, Inc for 2020: Products acquired for resale, P400,000;…

A: The inventoriable cost include the cost incurred to acquire the product for resale.

Q: Pear Company recorded the following data pertaining to one of its inventory items during January…

A: Moving average cost is a method of inventory valuation. This method computes the unit cost every…

Q: Company C had cost of goods sold in the year of sale 2019 of $1,500,000 and net sales was…

A: Inventory Turnover = Cost of Goods Sold/Average Inventory

Q: During 2021, a company sells 260 units of inventory for $90 each. The company has the following…

A: FIFO method of inventory computation makes the management assume that the goods which have been sold…

Q: 1.. On January 2020, Roel Corp. Has the following inventory…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: The inventory of Coronado Company on December 31, 2020, consists of the following items. Part…

A: GAAP require that inventory be valued at the lesser amount of its laid-down cost and the amount for…

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: Compute the amount of the inventory at December 31, 2020, under the dollar-value LIFO method.

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

Q: The following information was available for Concord Company at December 31, 2020: beginning…

A: Inventory turnover = cost of goods sold/Average inventory

Q: Sunland Company had ending inventory at end-of-year prices of $108,000 at December 31, 2019;…

A: Dollar Value LIFO Method Date Inventory at the end of the year Price Index Inventory at base year…

Q: Tatum Company has four products in its inventory. Information about the December 31, 2021, inventory…

A: The inventory valuation method is used to evaluate the closing inventory and cost of goods sold…

Q: The income statement of Stellar Company is shown below. STELLAR COMPANY INCOME STATEMENT FOR THE…

A: The cash flow statement is an essential part of the financial statements of the organization. It is…

Q: During 2021, Stan Company purchased P 1.92M of inventory. The cost of goods sold for the year was P…

A: Beginning inventory = Cost of goods sold + ending inventory - purchases = P1800000+360000-1920000 =…

Q: The 2021 inventory data for Island Corporation is presented below. Assume that Island uses periodic…

A: "Since you have posted a question with multiple sub parts, we will solve first three sub parts for…

Q: During 2020, Liberty Company has the following inventory transactions.   Date Transaction Units…

A: LIFO: In Last-in-first-out it is assumed that the last purchased item will be sold first. So, the…

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

A: Ending inventory for 2019 = inventory account balance + goods purchased on FOB shipping point =…

Q: The following information is available for Miguel Company at December 31, 2020: beginning inventory…

A: Ratio analysis is a method of measuring the financial position of the organization with different…

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

A:

Q: Riverside Inc. began business on January 1, 2020. The firm made the following inventory purchases…

A: FIFO and LIFO are the assumptions used to calculate the amount of cost of goods sold and ending…

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: Tatum Company has four products in its inventory. Information about the December 31, 2021, inventory…

A: The lower cost or net realizable method state that the inventory should be recorded at the lowest…

Q: The following information was available for Sheffield Corp. at December 31, 2022: beginning…

A: Compute the average inventory.

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.