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.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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