Prepare the journal entries required at December 31, 2018, and December 31, 2019, assuming that the inventory is recorded at cost, using a perpetual system and the loss .method

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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COVID Company began operations in 2018
and determined its ending inventory at cost
and at a LCNRV at December 31, 2018, and
December 31, 2019. This information is
-presented below
Cost
Net Realizable Value
12/31/18
$485,000
$535,000
12/31/19
580,000
610,000
:Required
Prepare the journal entries required at
December 31, 2018, and December 31, 2019,
assuming that the inventory is recorded at
cost, using a perpetual system and the loss
.method
Transcribed Image Text:COVID Company began operations in 2018 and determined its ending inventory at cost and at a LCNRV at December 31, 2018, and December 31, 2019. This information is -presented below Cost Net Realizable Value 12/31/18 $485,000 $535,000 12/31/19 580,000 610,000 :Required Prepare the journal entries required at December 31, 2018, and December 31, 2019, assuming that the inventory is recorded at cost, using a perpetual system and the loss .method
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