Plant Company began operations in 2021 and determined its ending inventory at cost and at lower-of-cost-or-NRV at December 31, 2021, 2022, and 2023. This information is presented below. Cost Lower-of-Cost-or-NRV December 31, 2021 $87,000 $71,000 December 31, 2022 100,000 98,000 December 31, 2023 97,000 97,000 (a) Prepare the journal entries required at December 31, 2021, 2022, and 2023, assuming that the cost-of-goods-sold method is used with an allowance account. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)

Plant Company began operations in 2021 and determined its ending inventory at cost and at lower-of-cost-or-NRV at December 31, 2021, 2022, and 2023. This information is presented below. Cost Lower-of-Cost-or-NRV December 31, 2021 $87,000 $71,000 December 31, 2022 100,000 98,000 December 31, 2023 97,000 97,000 (a) Prepare the journal entries required at December 31, 2021, 2022, and 2023, assuming that the cost-of-goods-sold method is used with an allowance account. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)

Name: Current Attempt in ProgressPlant Company began operations in 2021 and
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Description: Current Attempt in ProgressPlant Company began operations in 2021 and determined its ending inventory at cost and at lower-of-cost-or-NRV at December 31,2021, 2022, and 2023. This information is presented below.CostLower-of-Cost-or-NRVDecember 31, 2

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Concept explainers

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.

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Current Attempt in Progress
Plant Company began operations in 2021 and determined its ending inventory at cost and at lower-of-cost-or-NRV at December 31,
2021, 2022, and 2023. This information is presented below.
Cost
Lower-of-Cost-or-NRV
December 31, 2021
$87,000
$71,000
December 31, 2022
100,000
98,000
December 31, 2023
97,000
97,000
(a)
Prepare the journal entries required at December 31, 2021, 2022, and 2023, assuming that the cost-of-goods-sold method is used
with an allowance account. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry
is required, select "No Entry" for the account titles and enter O for the amounts.)

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D9.
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