1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory. 2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory. Given info, Inventory items Units Cost per unit ($) Market per unit ($) Office productivity 3 76 74 Desktop publishing 2 103 100 Accounting 3 90 96

Question

Want to see the full answer?

Answer 1

Question

Chapter 5, Problem 5SP

Part A

To determine

1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory.
2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory.

Given info,

Inventory items Units Cost per unit ($) Market per unit ($)
Office productivity 3 76 74
Desktop publishing 2 103 100
Accounting 3 90 96

Part B

To determine

1. Inventory turnover and days’ sales in inventory for the three months ended March 31, 2018.
2. Company’s performance as compared to others with the help of the above result and the given data.

Given info,
The beginning inventory amounts to $0.
Cost of goods sold $14,052.
The inventory as on March 31 is $704.
Competitor’s average inventory turnover is 15 times.
Competitor’s average days’ sales in inventory are 25 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

don't give me incorrect solution

I mistakenly submitted blurr image please comment i will write values. please dont Solve with incorrect values otherwise unhelpful.

Can you help me solve this general accounting problem using the correct accounting process?

Answer 2

Question

Chapter 5, Problem 5SP

Part A

To determine

1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory.
2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory.

Given info,

Inventory items Units Cost per unit ($) Market per unit ($)
Office productivity 3 76 74
Desktop publishing 2 103 100
Accounting 3 90 96

Part B

To determine

1. Inventory turnover and days’ sales in inventory for the three months ended March 31, 2018.
2. Company’s performance as compared to others with the help of the above result and the given data.

Given info,
The beginning inventory amounts to $0.
Cost of goods sold $14,052.
The inventory as on March 31 is $704.
Competitor’s average inventory turnover is 15 times.
Competitor’s average days’ sales in inventory are 25 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 5, Problem 5SP

Part A

To determine

1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory.
2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory.

Given info,

Inventory items Units Cost per unit ($) Market per unit ($)
Office productivity 3 76 74
Desktop publishing 2 103 100
Accounting 3 90 96

Part B

To determine

1. Inventory turnover and days’ sales in inventory for the three months ended March 31, 2018.
2. Company’s performance as compared to others with the help of the above result and the given data.

Given info,
The beginning inventory amounts to $0.
Cost of goods sold $14,052.
The inventory as on March 31 is $704.
Competitor’s average inventory turnover is 15 times.
Competitor’s average days’ sales in inventory are 25 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 5, Problem 5SP

Part A

To determine

1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory.
2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory.

Given info,

Inventory items Units Cost per unit ($) Market per unit ($)
Office productivity 3 76 74
Desktop publishing 2 103 100
Accounting 3 90 96

Part B

To determine

1. Inventory turnover and days’ sales in inventory for the three months ended March 31, 2018.
2. Company’s performance as compared to others with the help of the above result and the given data.

Given info,
The beginning inventory amounts to $0.
Cost of goods sold $14,052.
The inventory as on March 31 is $704.
Competitor’s average inventory turnover is 15 times.
Competitor’s average days’ sales in inventory are 25 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 5, Problem 5SP

Part A

To determine

1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory.
2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory.

Given info,

Inventory items Units Cost per unit ($) Market per unit ($)
Office productivity 3 76 74
Desktop publishing 2 103 100
Accounting 3 90 96

Part B

To determine

1. Inventory turnover and days’ sales in inventory for the three months ended March 31, 2018.
2. Company’s performance as compared to others with the help of the above result and the given data.

Given info,
The beginning inventory amounts to $0.
Cost of goods sold $14,052.
The inventory as on March 31 is $704.
Competitor’s average inventory turnover is 15 times.
Competitor’s average days’ sales in inventory are 25 days.

Answer 6

Chapter 5, Problem 5SP

Part A

To determine

1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory.
2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory.

Given info,

Inventory items Units Cost per unit ($) Market per unit ($)
Office productivity 3 76 74
Desktop publishing 2 103 100
Accounting 3 90 96

Answer 7

Chapter 5, Problem 5SP

Part A

To determine

1. The ending inventory when lower of cost or market is applied to the ending inventory as a whole and adjusts the reported inventory.
2. The ending inventory when lower of cost or market is applied to each of the product and adjusts the reported inventory.

Given info,

Inventory items Units Cost per unit ($) Market per unit ($)
Office productivity 3 76 74
Desktop publishing 2 103 100
Accounting 3 90 96

Answer 8

Part B

To determine

1. Inventory turnover and days’ sales in inventory for the three months ended March 31, 2018.
2. Company’s performance as compared to others with the help of the above result and the given data.

Given info,
The beginning inventory amounts to $0.
Cost of goods sold $14,052.
The inventory as on March 31 is $704.
Competitor’s average inventory turnover is 15 times.
Competitor’s average days’ sales in inventory are 25 days.

Answer 9

Part B

To determine

1. Inventory turnover and days’ sales in inventory for the three months ended March 31, 2018.
2. Company’s performance as compared to others with the help of the above result and the given data.

Given info,
The beginning inventory amounts to $0.
Cost of goods sold $14,052.
The inventory as on March 31 is $704.
Competitor’s average inventory turnover is 15 times.
Competitor’s average days’ sales in inventory are 25 days.

Answer 10

Expert Solution & Answer

Answer 11

Expert Solution & Answer

Answer 12

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 13

Ch. 5 - Prob. 1MCQ Ch. 5 - Prob. 2MCQ Ch. 5 - Prob. 3MCQ Ch. 5 - Prob. 4MCQ Ch. 5 - Prob. 5MCQ Ch. 5 - Prob. 6MCQ Ch. 5 - Describe how costs flow inventory to cost of goods...Ch. 5 - Where is the amount of merchandise inventory...Ch. 5 - Why are incidental costs sometimes ignored in...Ch. 5 - Prob. 4DQ

Concept explainers

Videos

Want to see the full answer?

Chapter 5 Solutions

Inventory items	Units	Cost per unit ($)	Market per unit ($)
Office productivity	3	76	74
Desktop publishing	2	103	100
Accounting	3	90	96