The following data refer to Jackson Apparel Co.'s ending inventory: Quantity Cost per Unit Market per Unit Item Code Small 120 $105 $110 Medium 350 $82 $90 Large 500 $88 $92 $140 $135 Extra-Large 250 Using the lower-of-cost-or-market (LCM) rule, what is the total inventory value? A) $119,050 B) $131,350 C) $124,960 D) None of the above

The following data refer to Jackson Apparel Co.'s ending inventory: Quantity Cost per Unit Market per Unit Item Code Small 120 $105 $110 Medium 350 $82 $90 Large 500 $88 $92 $140 $135 Extra-Large 250 Using the lower-of-cost-or-market (LCM) rule, what is the total inventory value? A) $119,050 B) $131,350 C) $124,960 D) None of the above

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter8: Inventories: Special Valuation Issues

Section: Chapter Questions

Problem 1MC: Sienna Company uses the FIFO cost flow assumption. Sierra has inventory with a selling price of 100,...

See similar textbooks

Similar questions

1
How do i create an NPV graph on excel using these data: Unit Sale NPV 1,000,000.00 - 2,952,452.00 1,500,000.00 - 2,001,492.00 2,000,000.00 - 1,050,533.00 2,500,000.00 - 384,861.00 2,789,077.17 - 3,000,000.00 280,811.00 3,500,000.00 946,482.00 4,000,000.00 1,612,154.00 4,500,000.00 2,277,826.00
Following information is related to Product X of Zempa Company: Current replacement cost $230 Cost to distribute $42 Historical cost Normal profit margin Selling price $215 $36 $245 If lower-of-cost-or-market rule (LCM Rule) is applied, then the value of Product X that would be reported in the balance sheet is: a. $215 b. $230 C. $203 d. S167
Following information is related to Product X of Zempa Company: Current replacement cost $230 Cost to distribute $42 Historical cost Normal profit margin Selling price $215 $36 $245 If lower-of-cost-or-market rule (LCM Rule) is applied, then the value of Product X that would be reported in the balance sheet is: a.
Please help answer
Sienna Company uses the FIFO cost flow assumption. Sierra has inventory with a selling price of 100, packaging costs of 5, and transportation costs of 10. Siennas normal profit margin is 20. However, due to limited supply of the product from the manufacturer, it would cost Sienna 80 to replace the inventory. What amount should be used as the market value? a. 65 b. 80 c. 85 d. 100
Bonita Company developed the following information about its inventories in applying the lower-of-cost-or-net realizable value (LCNRV) basis in valuing inventories: Net Product Cost Realizable Value A B C $111000 85000 160000 $126000 $351000. O $356000. O $376000. O $371000. 80000 165000 If Bonita applies the LCNRV basis, the value of the inventory reported on the balance sheet would be
Marigold Company gathered the following data about the three products that it produces: Product PresentSales Value Estimated AdditionalProcessing Costs Estimated Salesif Processed Further A $10400 $7200 $18600 B 12400 4200 15600 C 9400 2200 13600 Which of the products should not be processed further? a. Product C b. Products A and C c. Product B d. Product A
Requirement 1. Calculate the EOQ. Begin by selecting the formula used to calculate EOQ. (D=Demand in units for one year, P=Ordering cost per purchase order, C=Carrying cost of one unit in stock, Q=Any order quantity.) ModifyingAbove EOQ equals StartRoot StartFraction 2 DP Over Upper C EndFraction EndRoot With Subscript EOQ=2DPC Part 2 (Round your answer to the nearest whole number.) The EOQ is 560 jerseys. Part 3 Requirement 2. Calculate the number of orders that will be placed each year. Determine the formula used to calculate the number of orders that will be placed each year, then calculate the orders per year. (Round your answer up to the nearest whole number.) ÷ = Number of orders
The following information is available for Bramble Corp.: Sales Cost of goods sold $520000 0 0 0 0 300000 Total fixed expenses A CVP income statement would report contribution gross profit of $220000. contribution gross profit of $260000. Total variable expenses margin of $260000. margin of $370000. $150000 260000
Tamarisk Company is a multiproduct firm. Presented below is information concerning one of its products, the Hawkeye. Date Transaction Quantity Price/Cost 1/1 Beginning inventory 2,600 $17 2/4 Purchase 3,600 2/20 Sale 4,100 4/2 Purchase 4,600 11/4 Sale 3,800 22245 32 46 (a) Your answer is incorrect. Calculate the weighted-average cost per unit. (Round answer to 4 decimal places, e.g. 2.7613.) Weighted-average cost per unit $
An automated turning machine is the current constraint at Jordison Corporation. Three products use this constrained resource. Data concerning those products appear below: Selling price per unit Variable cost per unit Minutes on the constraint Multiple Choice Rank the products in order of their current profitability from most profitable to least profitable. In other words, rank the products in the order in which they should be emphasized. (Round your intermediate calculations to 2 decimal places.) LN, JQ, RQ RQ, LN, JQ RQ, JQ, LN JQ, RQ, LN $ $