Misty, Inc. had 24,000 units of ending inventory that were recorded at the cost of $8.00 per unit using the FIFO method. The current replacement cost is $4.50 per unit. Which of the following amounts would be reported as Ending Merchandise Inventory on the balance sheet using the lower-of-cost-or-market rule? a. $192,000 b. $300,000 c. $216,000 d. $108,000
Misty, Inc. had 24,000 units of ending inventory that were recorded at the cost of $8.00 per unit using the FIFO method. The current replacement cost is $4.50 per unit. Which of the following amounts would be reported as Ending Merchandise Inventory on the balance sheet using the lower-of-cost-or-market rule? a. $192,000 b. $300,000 c. $216,000 d. $108,000
Chapter10: Inventory
Section: Chapter Questions
Problem 10EB: Calculate the cost of goods sold dollar value for B67 Company for the month, considering the...
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
Transcribed Image Text:Misty, Inc. had 24,000 units of ending inventory
that were recorded at the cost of $8.00 per unit
using the FIFO method. The current replacement
cost is $4.50 per unit.
Which of the following amounts would be
reported as Ending Merchandise Inventory on the
balance sheet using the lower-of-cost-or-market
rule?
a. $192,000
b. $300,000
c. $216,000
d. $108,000
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