Vaughn Company developed the following information about its inventories in applying the lower-of-cost-or-net realizable value (LCM) basis in valuing inventories. Product Cost Net realizable value A $111000 $119000 B 81000 74000 C 153000 162000 If Vaughn applies the LCNRV basis, the value of the inventory reported on the balance sheet would be ○ $345000. ○ $362000. ○ $338000. ○ $355000.
Vaughn Company developed the following information about its inventories in applying the lower-of-cost-or-net realizable value (LCM) basis in valuing inventories. Product Cost Net realizable value A $111000 $119000 B 81000 74000 C 153000 162000 If Vaughn applies the LCNRV basis, the value of the inventory reported on the balance sheet would be ○ $345000. ○ $362000. ○ $338000. ○ $355000.
Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter9: Operating Activities
Section: Chapter Questions
Problem 7QE
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