The Pottery Co has recently undertaken their year end inventory inspection. During the inspection some items were discovered which had been damaged. A vase which had originally cost £155 and would have sold for £450 will now have to be discounted and sold for E175. 350 dinner sets which had originally cost £42 each and would have sold for £75 now need repair work costing E45 for each set. They can then be sold at the original selling price. At what value should the vase be included in closing inventory? £ What is the total value of the 350 dinner sets to be included in closing inventory?

The Pottery Co has recently undertaken their year end inventory inspection. During the inspection some items were discovered which had been damaged. A vase which had originally cost £155 and would have sold for £450 will now have to be discounted and sold for E175. 350 dinner sets which had originally cost £42 each and would have sold for £75 now need repair work costing E45 for each set. They can then be sold at the original selling price. At what value should the vase be included in closing inventory? £ What is the total value of the 350 dinner sets to be included in closing inventory?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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of The Pottery Co has recently undertaken their year end inventory inspection. During the inspection some items were discovered which had been damaged. • A vase which had originally cost £192 and would have sold for £440 will now have to be discounted and sold for £215. • 410 dinner sets which had originally cost £64 each and would have sold for £92 now need repair work costing £48 for each set. They can then be sold at the original selling price. At what value should the vase be included in closing inventory? £ What is the total value of the 410 dinner sets to be included in closing inventory? £ (Enter the values with no £ sign, comma or decimal places)
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