Beech Corporation has three finished products (related to three different product lines) in its ending inventory at December 31, Year 1. The following table provides additional information about each product: Product Cost Replacement Selling Normal Profit Cost Price Margin 101 $130 $140 $160 20% 202 $160 $135 $140 20% 303 $100 $ 80 $100 15% Beech Corporation expects to incur selling costs equal to 5 percent of the selling price on each of the products. Required: Determine the amount at which Beech should report its inventory on the December 31, Year 1 balance sheet under (1) IFRS and (2) U.S. GAAP.
. Beech Corporation has three finished products (related to three different product lines) in its ending inventory at December 31, Year 1. The following table provides additional information about each product:
Product Cost Replacement Selling Normal Profit Cost Price Margin
101 $130 $140 $160 20%
202 $160 $135 $140 20%
303 $100 $ 80 $100 15%
Beech Corporation expects to incur selling costs equal to 5 percent of the selling price on each of the products.
Required:
Determine the amount at which Beech should report its inventory on the December 31, Year 1 balance sheet under (1) IFRS and (2) U.S. GAAP.
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