Urmila ben Exercise b-13 (Aigo) Calculate inventory using lower of cost and net realizable value (LUb-b)Down Home Furnishings reports inventory using the lower of cost and net realizable value (NRV). Below is information related to itsyear-end inventory.InventoryFurnitureElectronicsQuantity23053Unit Cost$88430Required:1. Calculate the total recorded cost of ending inventory before any adjustments.2. Calculate ending inventory using the lower of cost and net realizable value.Unit NRV$1033703. Record any necessary adjusting entry for inventory.4. Determine the impact of the adjusting entry in the financial statements.Complete this question by enteringyour answers in the tabs below.RevenuesAssetsRequired 1 Required 2 Required 3Explain the impact of the adjusting entry in the financial statements. (Amounts to be deducted should be entered with minus sign.)Income Statement:Required 4Balance Sheet:PreyExpensesLiabilities1 of 5Next >Net IncomeStockholders)Equity Problem 6-2B (Algo) Calculate ending inventory, cost of goods sold, sales revenue, and gross profit forfour inventory methods (LO6-3, 6-4, 6-5)Bobby's Tennis Shop has the following transactions related to its top-selling Wilson tennis racket for the month of August. Bobby'sTennis Shop uses a periodic inventory system.DateAugust 1August 4August 11August 13August 20August 261August 29TransactionsBeginning inventorySale ($210 each)Purchase.Sale ($225 each)PurchaseSale ($235 each)PurchaseUnita510.101111Unit Cost$157147137127Total Cost$1,2561,4701,3701,397$5,493For the specific identification method, the August 4 sale consists of rackets from beginning inventory, the August 13 sale consists ofrackets from the August 11 purchase, and the August 26 sale consists of one racket from beginning inventory and 10 rackets from theAugust 20 purchaseRequired:1. Calculate ending inventory and cost of goods sold at August 31, using the specific identification method.2. Using FIFO, calculate ending inventory and cost of goods sold at August 31.3. Using LIFO, calculate ending inventory and cost of goods sold at August 31.4. Using weighted-average cost, calculate ending inventory and cost of goods sold at August 31.5. Calculate sales revenue and gross profit under each of the four methods.6. Comparing FIFO and LIFO, which one provides the more meaningful measure of ending inventory?7. If Bobby's chooses to report inventory using LIFO, record the LIFO adjustment.

Hi studentSince there are multiple questions, we will answer only first question.Inventory is one of…

Exercise b-13 (Aigo) Calculate inventory using lower of cost and net realizable value (LUb-b) Down Home Furnishings reports inventory using the lower of cost and net realizable value (NRV). Below is information related to its year-end inventory. Inventory Furniture Electronien Quantity 230 53 Unit Cost $88 430 Required: 1. Calculate the total recorded cost of ending inventory before any adjustments. 2. Calculate ending inventory using the lower of cost and net realizable value. 3. Record any necessary adjusting entry for inventory. 4. Determine the impact of the adjusting entry in the financial statements. Complete this question by entering your answers in the tabs below. Revenues Unit NRV $103 370 Required 1 Required 2 Required 3 Required 4 Explain the impact of the adjusting entry in the financial statements. (Amounts to be deducted should be entered with minus sign.) Income Statement: Assets Balance Sheet: Prev Expenses Liabilities 1 of 5 Next > Net Income Stockholders Equity