The inventory of Royal Decking consisted of five products. Information about ending inventory is as follows: Product D Cost $ 53 93 53 113 33 Per Unit Replacement Cost $ 48 83 68 83 41 Selling Price $ 73 113 93 143 43 Selling costs consist of a sales commission equal to 15% of selling price and shipping costs equal to 5% of cost. The normal profit is 35% of selling price. Required: What unit value should Royal Decking use for each of its products when applying the lower of cost or market (LCM) rule to units of ending inventory?
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- Kulsrud Company would like to estimate the current inventory level. Using the gross profit method and the following information, estimate the current inventory level for Kulsrud Company. Goods available for sale 100,000 Net sales 150,000 Normal gross profit as a percent of sales 40%The inventory of Royal Decking consisted of five products. Information about ending inventory is as follows: Product ABCDE Cost $ 90 130 90 55 20 Product Per Unit Costs to sell consist of a sales commission equal to 10% of selling price and shipping costs equal to 10% of cost. A B с D E Required: What unit value should Royal Decking use for each of its products when applying the lower of cost or net realizable value (LCNRV) rule to units of ending inventory? Selling Price $ 120 160 130 85 30 Cost NRV Per Unit Inventory ValueThe inventory of Royal Decking consisted of five products. Information about ending inventory is as follows: Product A n C D Cost $70 110 70 70 30 Product Per Unit ABCDE Selling Price Costs to sell consist of a sales commission equal to 20% of selling price and shipping costs equal to 10% of cost. Required: What unit value should Royal Decking use for each of its products when applying the lower of cost or net realizable value (LCNRV) rule to units of ending inventory? $90 160 110 100 40 Cost NRV Per Unit Inventory Value
- n The inventory of Royal Decking consisted of five products. Information about ending inventory is as follows: Product A B C D E Product Cost $ 58 98 ADCOE 58 118 А 38 Selling costs consist of a sales commission equal to 15% of selling price and shipping costs equal to 5% of cost. The normal profit is 40% of selling price. Per Unit Replacement Cost Required: What unit value should Royal Decking use for each of its products when applying the lower of cost or market (LCM) rule to units of ending inventory? Note: Do not round intermediate calculations. Round final answers to 2 decimal places. $ 53 88 73 88 46 Cost Replacement. cost Selling Price $ 78 118 98 148 48 $ 58 $ 98 58 118 38 53 88 73 88 46 NRV NRV minus NP Market Per Unit Inventory. ValueDecker Company has five products in its inventory. Information about ending inventory follows. Unit Unit Selling Cost Product ABCDE Quantity 1,250 1,050 850 450 850 $ 23 29 5 12 28 Price The cost to sell for each product consists of a 10 percent sales commission. Required: 1. Determine the carrying value of ending inventory, assuming the lower of cost or net realizable value (LCNRV) rule is applied to individual products. $ 30 32 13 11 27 2. Determine the carrying value of ending inventory, assuming the LCNRV rule is applied to the entire inventory. 3. Assuming inventory write-downs are common for Decker, record any necessary year-end adjusting entry based on the amount calculated in requirement 2. View transaction list Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Assuming inventory write-downs are common for Decker, record any necessary year-end adjusting entry based on the amount calculated in requirement 2. Note: If no entry is…Tatum Company has four products in its inventory. Information about ending inventory is as follows: Total Replacement Cost $ Total Net Realizable Value $ 138,300 151,000 152,300 116,600 54,800 69,500 39,400 70,800 Product Total Cost 101 $ 167,000 123,600 82,200 42,100 The normal profit is 20% of total cost. 102 103 104 Required: 1. Determine the carrying value of inventory assuming the lower of cost or market (LCM) rule is applied to individual products. 2. Assuming that inventory write-downs are common for Tatum Company, record any necessary year-end adjusting entry. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine the carrying value of inventory assuming the lower of cost or market (LCM) rule is applied to individual products. Replacement cost Product 101 102 103 104 Totals Total Cost $ $ 167.000 $ 152,300 $ 123,600 116,600 82,200 54,800 42,100 39,400 414,900 NRV 138,300 151,000 69,500 70,800 NRV minus NP Market Inventory Value
- Forest Company has five products in its inventory. Information about ending inventory follows. Product Quantity Unit Cost Unit Replacement Cost Unit Selling Price A 900 $ 19 $ 21 $ 25 B 800 24 20 27 C 1,000 12 11 17 D 500 16 13 15 E 800 23 21 22 The cost to sell for each product consists of a 15 percent sales commission. The normal profit for each product is 25 percent of the selling price. Required: Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products. Determine the carrying value of inventory, assuming the LCM rule is applied to the entire inventory. Assuming inventory write-downs are common for Forest, record any necessary year-end adjusting entry based on the amount calculated in requirement 2.Forest Company has five products in its inventory. Information about ending inventory follows. Product Quantity Unit Cost A 1,000 B 800 с 600 D 200 E 600 $ 10 15 3 7 14 Unit Replacement Unit Selling Cost Price $ 16 18 8 6 13 $ 12 11 2 4 12 The cost to sell for each product consists of a 15 percent sales commission. The normal profit for each product is 40 percent of the selling price. Required: 1. Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products. 2. Determine the carrying value of inventory, assuming the LCM rule is applied to the entire inventory. 3. Assuming inventory write-downs are common for Forest, record any necessary year-end adjusting entry based on the amount calculated in requirement 2.Forest Company has five products in its inventory. Information about ending inventory follows. Unit Replacement Unit Selling Cost Price $ 21 $ 25 20 27 17 15 22 Product Quantity A 900 B 800 C D E 1,000 500 800 Unit Cost $19 24 12 16 23 The cost to sell for each product consists of a 15 percent sales commission. The normal profit for each product is 25 percent of the selling price. Required: 1. Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products. 2. Determine the carrying value of inventory, assuming the LCM rule is applied to the entire inventory. 3. Assuming inventory write-downs are common for Forest, record any necessary year-end adjusting entry based on the amount calculated in requirement 2. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Product (units) A (900) B (800) C (1,000) D (500) E (800) 11 13 21 Determine the carrying value of ending…
- Forest Company has five products in its inventory. Information about ending inventory follows. Product Quantity Unit Cost Unit Replacement Cost Unit Selling Price A 600 $ 12 $ 14 $ 18 B 1,000 17 13 20 C 600 5 4 10 D 600 9 6 8 E 600 16 14 15 The cost to sell for each product consists of a 10 percent sales commission. The normal profit for each product is 25 percent of the selling price. Required: Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products. Determine the carrying value of inventory, assuming the LCM rule is applied to the entire inventory. Assuming inventory write-downs are common for Forest, record any necessary year-end adjusting entry based on the amount calculated in requirement 2. Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products.The following information is available for the Century Trading: Product A B C D Cost $102 $45 $24 $9 Estimated sales price 120 60 30 15 Estimated disposal costs 15 18 8 5 Number of units 4,000 6,000 5,500 7,200 REQUIRED: Using the lower of cost and net realizable value, determine the total inventory value to be presented in Centurys Trading's statement of financial position.Forest Company has five products in its inventory. Information about ending inventory follows. Product Quantity Unit Cost Unit Replacement Cost Unit Selling Price A 500 $ 18 $ 20 $ 24 B 800 23 19 26 C 700 11 10 16 D 800 15 12 14 E 700 22 20 21 The cost to sell for each product consists of a 10 percent sales commission. The normal profit for each product is 40 percent of the selling price. Required: Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products. Determine the carrying value of inventory, assuming the LCM rule is applied to the entire inventory. Assuming inventory write-downs are common for Forest, record any necessary year-end adjusting entry based on the amount.