An item of inventory was purchased for $10. However, due to a fall in demand, its selling price will be only $8. In addition further costs will be incurred prior to sale of $1. What is the net realisable value? A $7 B $8 C $10 D $11

Q: n the following information for the Network Company: Date                                    Cost…

A: The right answer is option C c. Inventory       1,050              Income Summary    1,050

Q: An item of inventory was purchased for $500. It is expected to be sold for $1,200 although $250 will…

A: We have the following information: Inventory purchased: $500 Inventory expected to be sold at:…

Q: APOL Company provided the following information related to the ending inventory of its Product X:…

A: Inventory to be reported in the Statement of financial position = Lower of cost and Net realizable…

Q: What would be NUBD’s finished inventory cost at December 31, 2021 under the variable costing method?…

A: Under the variable costing, only variable cost of goods manufactured are taken as a product cost.…

Q: A. Based on the fundamental principle of IAS2, identify two (2) circumstances where the NRV of…

A: Net realisable value is the price at which we can sell our goods. NRV can be decrease in following…

Q: APOL Company provided the following information related to the ending inventory of its Product X:…

A: Inventory to be reported in the Statement of financial position = Lower of cost and Net realizable…

Q: Cheap Sheep Company developed the following information about its inventories in applying the lower…

A: Inventory: It can be defined as all the goods, items, materials, and merchandise that are held by a…

Q: 1- Hani has an inventory at 1/1/2020 of €60,000 and purchases during 2020 of €280,000, both at cost…

A: Opeining inventory + purchase = Cost of Sales + Closing inventory

Q: Given the following data for Al-Madar co. for 2021: Inventory at Cost (31/12/2021) 22000 Inventory…

A: Cost of goods sold means the cost incurred on the goods which has been sold out. This figure can be…

Q: . Cost of goods sold is P7,400. Beginning inventory is P3,500 and ending 1. inventory is P4,000. If…

A: The cost of goods sold can be calculated by adding up net purchase and freight and deducting closing…

Q: If ending inventory is understated by $25,000, what effect will this have on cost of goods sold and…

A: Formula: Cost of goods sold = Beginning inventory + Purchases - Ending Inventory.

Q: The normal selling price of an inventory/stock item is £21 per unit. The item originally cost £15…

A: Lower-of-cost-or-market value: The lower-of-cost-or-market value is a method which requires the…

Q: On 31/12/2013, the cost of inventory was 54000, and the Fair value (estimated selling price) was…

A: There are different inventory valuation methods such as FIFO, LIFO, weighted average inventory…

Q: 1.How much is the inventory write-down for the raw materials?

A: Inventory is always valued at  Cost or NRV(Net Realisable value) whichever is lower. It is valued…

Q: APOL Company provided the following information related to the ending inventory of its Product X:…

A: Inventory to be reported in the Statement of financial position = Lower of cost and Net realizable…

Q: ALOHA Company determined the following information for an inventory at year end. Historical Cost P…

A: Inventory at year end = Lower of Cost or Net realizable value where, Net realizable value =…

Q: Company A recent required to record an inventory write down of $5,200 because the net realizable…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: Cost of goods sold is P7,400. Beginning inventory is P3,500 and ending what were purchase returns…

A: Since there are multiple questions, we will answer only the first question. If you want the…

Q: Swing Ltd uses FIFO for its inventory, which is valued at $21,000. It is considering a change to…

A: Inventory should be valued at cost or Net realisable value.

Q: what were purchase returns and allowances? Cost of goods sold is P7,400. Beginning inventory is…

A: The net purchases are calculated after adjusting freight charges, discounts and returns and…

Q: which made a gross profit of OR 65000. Opening inventory was OR 24000 and the value of closing…

A: Sales =165000 Gross profit =65000 Opening inventory =24000 Closing inventory =21000 Decrease in…

Q: The Company uses lower-of-cost-or-market approach. The replacement cost of an inventory item is $75.…

A: Note: Under the lower-of-cost-or-market approach, inventory is valued at lower of Cost or Net…

Q: Assuming that net purchases was P90,000 during the year and that ending merchandise inventory was…

A: Cost of Goods Sold - Cost of Goods Sold is the cost incurred by the company to made the goods sold…

Q: DD BE92 Floyd Corporation has the following four items in its ending inventory. NRV Less Net…

A: Value of inventory = Lower of Cost or Net realizable value

Q: computing the ending nventory values for t ay 31, 2000, balance sheet Ending inventory amounts on y…

A: Joint cost is the cost of the producing all the products in single batch.

Q: A company has the following per unit original costs and market values for its inventory. Lower of…

A: Lower of cost or market value method is that method in which inventory is valued at cost value of…

Q: If firm’s beginning inventory is $70,000, purchases are $320,000, and the cost of good sold is…

A: Cost of goods sold is the actual cost of goods that are being sold to the customers. This is also…

Q: what were purchase returns and allowances? Cost of goods sold is P7,400, Beginning inventory is…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: Cost of goods sold is $108,000 ,ending inventory is $12,000 and purchases is $100,010. What is…

A: Cost of goods sold = Beginning inventory + Purchases - Ending inventory

Q: 21. A company has two pieces of Inventory, A and B. Inventory A cost the company P40 per unit and…

A: The inventory should be reported at the lower of cost or market, subject to a ceiling and floor.…

Q: Given the following percentage costs of carrying inventory, calculate the annual carrying cost if…

A: annual carrying cost =average inventory×percentage cost

Q: The company made purchases of P60,000 and sales of P85,000 with P10,000 left in inventory. If the…

A: Cost of sales means how much cost of goods or products has been sold to the customers. Some…

Q: What would be NUBD’s finished inventory cost at December 31, 2021 under the variable costing method?…

A: Only variable cost of goods manufactured are associated to product cost under variable costing…

Q: Moore Company purchased an item for inventory that cost $20 perunit and was marked to sell at $30.…

A: Lower of cost or market: This method of LCM states that the inventory is required to be reported on…

Q: Given the following data for AI-Madar co. for 2021: Inventory at Cost (31/12/2021) Inventory at NRV…

A: Cost of goods sold = sales - Gross profit

Q: Cullumber Hardware reported cost of goods sold as follows. 2022 2021 Beginning inventory $ 30,000 $…

A: Cost of Goods Sold:: The cost of goods sold is the cost incurred for the goods sold during the…

Q: Which of the following journal entries would be recorded when the inventory with cost of 11.000 TL…

A: Option a is correct.

Q: What is the incremental impact on net income of this error next year.

A: Given that: At the end of a year it is determined that Ending inventory is understated by $10,000.

Q: 1- Hani has an inventory at 1/1/2020 of €60,000 and purchases during 2020 of €280,000, both at cost.…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Ivanhoe Inc. has the following information related to an item in its ending inventory. Packit…

A: Net realizable value means the amount that could be received after deducted all incidental expenses…

Q: Help

A:

Q: 1. Compute the cost of inventory on December 31, 2021. Note: Round off the weighted average unit…

A: In case of weighted average method, after each purchase a weighted average rate is calculated from…