The following data refer to Brompton Company's ending inventory: Item Code Quantity Unit Cost Unit Market Value Small 100 $ 250 $246 Medium 400 150 145 Large 600 170 162 Extra-Large 250 265 270 What is the ending inventory balance if the lower cost or net realisable(realizable) value rule is applied to each item of inventory? A) $248,050 B) $246,050 C) $253,250 D) $252,850

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
The following data refer to Brompton Company's ending inventory:
Item Code
Quantity
Unit Cost
Unit Market Value
Small
100
$ 250
$246
Medium
400
150
145
Large
600
170
162
Extra-Large
250
265
270
What is the ending inventory balance if the lower cost or net
realisable(realizable) value rule is applied to each item of inventory?
A) $248,050
B) $246,050
C) $253,250
D) $252,850
Transcribed Image Text:The following data refer to Brompton Company's ending inventory: Item Code Quantity Unit Cost Unit Market Value Small 100 $ 250 $246 Medium 400 150 145 Large 600 170 162 Extra-Large 250 265 270 What is the ending inventory balance if the lower cost or net realisable(realizable) value rule is applied to each item of inventory? A) $248,050 B) $246,050 C) $253,250 D) $252,850
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education