Subject:- General Account Kay Mart Company is preparing financial statements and provides the following information about several of its major inventory items at year- end; Ite Quantity Unit Cost Replacement Cost Market A 25 $ 15 $ 19 S 60 $ 22 $ 20 T 34 $ 30 $ 33 50 $ 10 $11 V 13 $ 50 $ 55 Required: 1. If Kay mart uses the lower of cost or market rule LCM, What should it report as the balance of inventory if the market value is computed for inventories? $
Subject:- General Account Kay Mart Company is preparing financial statements and provides the following information about several of its major inventory items at year- end; Ite Quantity Unit Cost Replacement Cost Market A 25 $ 15 $ 19 S 60 $ 22 $ 20 T 34 $ 30 $ 33 50 $ 10 $11 V 13 $ 50 $ 55 Required: 1. If Kay mart uses the lower of cost or market rule LCM, What should it report as the balance of inventory if the market value is computed for inventories? $
Chapter10: Inventory
Section: Chapter Questions
Problem 6PB: Use the last-in, first-out method (LIFO) cost allocation method, with perpetual inventory updating,...
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
Transcribed Image Text:Subject:- General Account
Kay Mart Company is preparing financial statements and provides the
following information about several of its major inventory items at year-
end;
Ite Quantity
Unit Cost
Replacement Cost Market
A
25
$ 15
$ 19
S
60
$ 22
$ 20
T
34
$ 30
$ 33
50
$ 10
$11
V
13
$ 50
$ 55
Required:
1. If Kay mart uses the lower of cost or market rule LCM, What should it
report as the balance of inventory if the market value is computed for
inventories?
$
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