Byron Company has five products in its inventory and uses the FIFO cost flow assumption. Specific data for each product are as follows: Product A B C D E B Cost $90,000 110,000 60,000 100,000 105,000 C D Selling Price $150,000 120,000 70,000 115,000 110,000 Required: 1. What is the correct inventory value, assuming the LCNRV rule is applied to each item of inventory? Product Inventory Value A Estimated Cost of Disposal $20,000 15,000 5,000 5,000 8,000 E Total 2. What is the correct inventory value, assuming the LCNRV rule is applied to the total of inventory? tems compared to the total of inventory.
Byron Company has five products in its inventory and uses the FIFO cost flow assumption. Specific data for each product are as follows: Product A B C D E B Cost $90,000 110,000 60,000 100,000 105,000 C D Selling Price $150,000 120,000 70,000 115,000 110,000 Required: 1. What is the correct inventory value, assuming the LCNRV rule is applied to each item of inventory? Product Inventory Value A Estimated Cost of Disposal $20,000 15,000 5,000 5,000 8,000 E Total 2. What is the correct inventory value, assuming the LCNRV rule is applied to the total of inventory? tems compared to the total of inventory.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter8: Inventories: Special Valuation Issues
Section: Chapter Questions
Problem 2RE: Black Corporation uses the LIFO cost flow assumption. Each unit of its inventory has a net...
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