Jenks Company developed the following information about its inventories in applying lower of cost or market (LCM) basis in valuing inventories: Product Cost Market A $57,000 $60,000 B 40,000 38,000 80,000 81,000 If Jenks applies the LCM basis, the value of the inventory reported on the balance sheet would be: a. $177,000 b. $181,000 c. $179,000 d. $175,000
Jenks Company developed the following information about its inventories in applying lower of cost or market (LCM) basis in valuing inventories: Product Cost Market A $57,000 $60,000 B 40,000 38,000 80,000 81,000 If Jenks applies the LCM basis, the value of the inventory reported on the balance sheet would be: a. $177,000 b. $181,000 c. $179,000 d. $175,000
Chapter4: Operating Activities: Sales And Cash Receipts
Section: Chapter Questions
Problem 1.3C
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can you please answer this account query?
Transcribed Image Text:Jenks Company developed the following information
about its inventories in applying lower of cost or
market (LCM) basis in valuing inventories:
Product Cost
Market
A
$57,000 $60,000
B
40,000 38,000
80,000 81,000
If Jenks applies the LCM basis, the value of the
inventory reported on the balance sheet would be:
a. $177,000
b. $181,000
c. $179,000
d. $175,000
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