Tagline is general account query Shelby Industries is ready to launch next year's model of their bestselling product. Unfortunately, they have found that customers areunwilling to pay more that $40 for last year's model. Based on thethird quarter inventory values below, by how much should Shelbyincrease the Lower of Cost or Market reserve before closing thebooks for September 30th? [General Account][02]DescriptionUnitsMarketValueInventoryCostRemaining stock of last year'smodel3,500$ 40.00$ 50.00

To determine the increase in the Lower of Cost or Market (LCM) reserve, we compare the inventory…

Answered: Shelby Industries is ready to launch…

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter18: Accounting Periods And Methods

Section: Chapter Questions

Problem 67P

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The following reflect the forecast of Viathon Manufacturers for the year 2020 for the only product that it manufactures: R Total production cost 4,15,000 Opening inventory 54,000 Cost of Sales 3,90,000 The expected value of closing inventory is: a. R29,000 b. R361,000 c. R79,000 d. none of the above
Tim Mattke Company began operations in 2018 and for simplicity reasons, adopted weighted-average pricing for inventory. In 2020, in accordance with other companies in its industry, Mattke changed its inventory pricing to FIFO. The pretax income data is reported below. Year Weighted-Average FIFO 2018 $370,000 $395,000 2019 390,000 430,000 2020 410,000 450,000 Instructions a. What is Mattke’s net income in 2020? Assume a 20% tax rate in all years. b. Compute the cumulative effect of the change in accounting principle from weighted-average to FIFO inventory pricing. c. Show comparative income statements for Tim Mattke Company, beginning with income before income tax, as presented on the 2020 income statement.
Required: i) Prepare the stock ledger account for Soko Baking flour using the Weighted Average price method Month of June 2020 ii) From the above stock ledger account calculate the valuation of the closing stock of soko baking flour as at end of the Month of June 2020
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