Wildhorse Company began operations in 2025 and determined its ending inventory at cost and at LCNRV at December 31, 2025, and December 31, 2026. This information is presented below. 12/31/25 $855,000 12/31/26 (a) Cost Date 1,022,000 LCNRV $809,400 986,700 Prepare the journal entries required at December 31, 2025, and December 31, 2026, assuming that the inventory is recorded at LCNRV, and that a perpetual inventory system. Using the cost-of-goods-sold method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the amounts. List all debit entries before credit entries. Record journal entries in the order presented in the problem.) Account Titles and Explanation Debit Credit
Wildhorse Company began operations in 2025 and determined its ending inventory at cost and at LCNRV at December 31, 2025, and December 31, 2026. This information is presented below. 12/31/25 $855,000 12/31/26 (a) Cost Date 1,022,000 LCNRV $809,400 986,700 Prepare the journal entries required at December 31, 2025, and December 31, 2026, assuming that the inventory is recorded at LCNRV, and that a perpetual inventory system. Using the cost-of-goods-sold method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the amounts. List all debit entries before credit entries. Record journal entries in the order presented in the problem.) Account Titles and Explanation Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Wildhorse Company began operations in 2025 and determined its ending inventory at cost and at LCNRV at December 31, 2025, and
December 31, 2026. This information is presented below.
12/31/25 $855,000
12/31/26
(a)
Cost
Date
1,022,000
LCNRV
$809,400
986,700
Prepare the journal entries required at December 31, 2025, and December 31, 2026, assuming that the inventory is recorded at
LCNRV, and that a perpetual inventory system. Using the cost-of-goods-sold method. (Credit account titles are automatically
indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the
amounts. List all debit entries before credit entries. Record journal entries in the order presented in the problem.)
Account Titles and Explanation
Debit
Credit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb30df389-5e90-4990-94c7-3eb10ab0e5df%2Ffd27a3f3-d184-4ba8-8b2a-d11bf9ea24be%2F7a8ku7m_processed.png&w=3840&q=75)
Transcribed Image Text:Wildhorse Company began operations in 2025 and determined its ending inventory at cost and at LCNRV at December 31, 2025, and
December 31, 2026. This information is presented below.
12/31/25 $855,000
12/31/26
(a)
Cost
Date
1,022,000
LCNRV
$809,400
986,700
Prepare the journal entries required at December 31, 2025, and December 31, 2026, assuming that the inventory is recorded at
LCNRV, and that a perpetual inventory system. Using the cost-of-goods-sold method. (Credit account titles are automatically
indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the
amounts. List all debit entries before credit entries. Record journal entries in the order presented in the problem.)
Account Titles and Explanation
Debit
Credit
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