QS 5-23 (Algo) Applying LCM to inventories LO P2 Ames Trading Company has the following products in its ending inventory. Cost per Market per Unit Unit Product Mountain bikes Skateboards Gliders Inventory Items Quantity 11 15 15 Mountain bikes Skateboards Gliders Compute lower of cost or market for inventory applied separately to each product. $ 730 310 730 Units Per Unit Cost Market $ $ 700 360 670 $ Cost Total $ 0 0 0 0 $ Market 0 9 0 0 LCM applied to each product $ 0

QS 5-23 (Algo) Applying LCM to inventories LO P2 Ames Trading Company has the following products in its ending inventory. Cost per Market per Unit Unit Product Mountain bikes Skateboards Gliders Inventory Items Quantity 11 15 15 Mountain bikes Skateboards Gliders Compute lower of cost or market for inventory applied separately to each product. $ 730 310 730 Units Per Unit Cost Market $ $ 700 360 670 $ Cost Total $ 0 0 0 0 $ Market 0 9 0 0 LCM applied to each product $ 0

Name: Ashvin QS 5-23 (Algo) Applying LCM to inventories LO P2Ames Trading Co
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Description: Ashvin QS 5-23 (Algo) Applying LCM to inventories LO P2Ames Trading Company has the following products in its ending inventory.Cost per Market perUnitUnitProductMountain bikesSkateboardsGlidersInventory ItemsQuantity111515Mountain bikesSkateboardsGli

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter6: Cost Of Goods Sold And Inventory

Section: Chapter Questions

Problem 63E: ( Appendix 6B) Inventory Costing Methods: Periodic Inventory System The inventory accounting records...

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( Appendix 6B) Inventory Costing Methods: Periodic Average Cost Refer to the information for Filimonov Inc. (p. 337) and assume that the company uses a periodic inventory system. Required: Calculate the cost of goods sold and the cost of ending inventory using the average cost method. ( Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.)
Inventory Write-Down Byron Company has five products in its inventory and uses the FIFO cost flow assumption. Specific data for each product are as follows: Required: 1. What is the correct inventory value, assuming the LCNRV rule is applied to each item of inventory? 2. What is the correct inventory value, assuming the LCNRV rule is applied to the total of inventory? 3. Next Level Comment on any differences that result from applying the LCNRV rule to individual items compared to the total of inventory.
( Appendix 6B) Refer to the information for Morgan Inc. above. If Morgan uses a periodic inventory system, what is the cost of ending inventory under LIFO at April 30? a. $32,800 b. $38,400 c. $63,600 d. $69,200
( Appendix 6B) Refer to the information for Morgan Inc. above. If Morgan uses a periodic inventory system, what is the cost of goods sold under FIFO at April 30? a. $32,800 b. $38,400 c. $63,600 d. $69,200
( Appendix 6B) Inventory Costing Methods: Periodic LIFO Refer to the information for Filimonov Inc. (p. 337) and assume that the company uses a periodic inventory system. Required: Calculate the cost of goods sold and the cost of ending inventory using the LIFO inventory costing method.
( Appendix 6B) Inventory Costing Methods: Periodic FIFO Refer to the information for Filimonov Inc. (p. 337) and assume that the company uses a periodic inventory system. Required: Calculate the cost of goods sold and the cost of ending inventory using the FIFO inventory costing method.
( Appendix 6B) Inventory Costing Methods: Periodic Inventory System The inventory accounting records for Lee Enterprises contained the following data: Required: 1. Calculate the cost of ending inventory and the cost of goods sold using the FIFO, LIFO, and average cost methods. ( Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.) 2. CONCEPTUAL CONNECTION Compare the ending inventory and cost of goods sold computed under all three methods. What can you conclude about the effects of the inventory costing methods on the balance sheet and the income statement?
( Appendix 6B) Inventory Costing Methods: Periodic System Harrington Company had the following data for inventory during a recent year: Assume that Harrington uses a periodic inventory accounting system. Required: 1. Using the FIFO, LIFO, and average cost methods, compute the ending inventory and cost of goods sold. ( Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.) 2. CONCEPTUAL CONNECTION Which method will produce the most realistic amount for income? For inventory? 3. CONCEPTUAL CONNECTION Which method will produce the lowest amount paid for taxes?
Lower-of-cost-or-market inventory On the basis of the following data, determine the value of the inventory at the lower of cost or market. Assemble the data in the form illustrated in Exhibit 9. Product Inventory Quantity Cost per Unit Market Value per Unit (Net Realizable Value) Model A 300 140 125 Model B 500 90 112 Model C 150 60 59 Model D 800 120 115 Model E 400 140 145
TB MC Qu. 05-131 (Algo) A company has the following products... A company has the following products in its ending Inventory. Compute lower of cost or market for inventory applied separately to each product Cost per Market per Unit Unit $ 726 $ 696 $ 526 $ 566 $ 676 $ 701 Product Quantity 10 15 20 Product A Product B Product C
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nventory Write-Down The following information is taken from Aden Company's records: Product Group Units Cost/Unit Market/Unit A 1 600 $1.10 $0.90 B 1 250 1.50 1.55 C 2 200 4.90 5.15 D 2 100 6.50 6.40 E 3 80 25.00 24.60 Required: What is the correct inventory value if the company applies the LCNRV rule to each of the following?