Exercise 6-14 (Algo) Calculate inventory using lower of cost and net realizable value (LO6-6) [The following information applies to the questions displayed below.] A company like Golf USA that sells golf-related inventory typically will have inventory items such as golf clothing and golf equipment. As technology advances the design and performance of the next generation of drivers, the older models become less marketable and therefore decline in value. Suppose that in the current year, Ping (a manufacturer of golf clubs) introduces the MegaDriver II, the new and improved version of the MegaDriver. Below are year-end amounts related to Golf USA’s inventory. Inventory Quantity Unit Cost Unit NRV Shirts 38 $55 $73 MegaDriver 18 390 330 MegaDriver II 33 410 450 Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Exercise 6-14 (Algo) Calculate inventory using lower of cost and net realizable value (LO6-6) [The following information applies to the questions displayed below.] A company like Golf USA that sells golf-related inventory typically will have inventory items such as golf clothing and golf equipment. As technology advances the design and performance of the next generation of drivers, the older models become less marketable and therefore decline in value. Suppose that in the current year, Ping (a manufacturer of golf clubs) introduces the MegaDriver II, the new and improved version of the MegaDriver. Below are year-end amounts related to Golf USA’s inventory. Inventory Quantity Unit Cost Unit NRV Shirts 38 $55 $73 MegaDriver 18 390 330 MegaDriver II 33 410 450 Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Exercise 6-14 (Algo) Calculate inventory using lower of cost and net realizable value (LO6-6)
[The following information applies to the questions displayed below.]
A company like Golf USA that sells golf-related inventory typically will have inventory items such as golf clothing and golf equipment. As technology advances the design and performance of the next generation of drivers, the older models become less marketable and therefore decline in value. Suppose that in the current year, Ping (a manufacturer of golf clubs) introduces the MegaDriver II, the new and improved version of the MegaDriver. Below are year-end amounts related to Golf USA’s inventory.
| Inventory | Quantity | Unit Cost | Unit NRV |
|---|---|---|---|
| Shirts | 38 | $55 | $73 |
| MegaDriver | 18 | 390 | 330 |
| MegaDriver II | 33 | 410 | 450 |
Note:-
- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.
- Answer completely.
- You will get up vote for sure.
Transcribed Image Text:4. Determine the impact of the adjusting entry in the financial statements. (Amounts to be deducted should be entered with minus
sign.)
Revenues
Assets
Inventory
Income Statement:
Expenses
Cost of Goods Sold
Balance Sheet:
Liabilities
+
Net Income
Stockholders'
Equity
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