According to a FIFO calculation, Montana Co. estimated its year-end inventory to be worth $649,000.The following information relates to that inventory:Selling priceCosts to sell$ 610,00036,000Replacement cost 561,000And what would the inventory value be for Montana?Multiple Options$574,000.$610,000.$591,000.$561,000.

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Description: According to a FIFO calculation, Montana Co. estimated its year-end inventory to be worth $649,000.The following information relates to that inventory:Selling priceCosts to sell$ 610,00036,000Replacement cost 561,000And what would the inventory valu

As per inventory valuation method, the finished goods inventory on balance sheet are carried at…

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According to a FIFO calculation, Montana Co. estimated its year-end inventory to be worth $649,000. The following information relates to that inventory: Selling price $ 610,000 Costs to sell 36,000 Replacement cost 561,000 And what would the inventory value be for Montana? Multiple Options $574,000. $610,000. $591,000. $561,000.

According to a FIFO calculation, Montana Co. estimated its year-end inventory to be worth $649,000. The following information relates to that inventory: Selling price $ 610,000 Costs to sell 36,000 Replacement cost 561,000 And what would the inventory value be for Montana? Multiple Options $574,000. $610,000. $591,000. $561,000.

FINANCIAL ACCOUNTING

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ISBN:9781259964947

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Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Concept explainers

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.

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According to a FIFO calculation, Montana Co. estimated its year-end inventory to be worth $649,000.
The following information relates to that inventory:
Selling price
Costs to sell
$ 610,000
36,000
Replacement cost 561,000
And what would the inventory value be for Montana?
Multiple Options
$574,000.
$610,000.
$591,000.
$561,000.

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