Homework Help is Here – Start Your Trial Now!
Business
Accounting
God is love has the following inventory at the end of 2019                                                         UNIT COST PER UNIT Raw material                           500 2.5 WIP 2000 30 Finished goods        1000 35  Finished item is usually sell per $5 per unit. However water damage caused by improper storage of inventory will mean that 300 unit of finished goods will be sold at 60% of normal selling less cost, to sell of $ 5 per item. A further $5.5 is still to be incurred to finished off the item of WIP. In accordance IAS 2 at what amount should inventory be stated in statement of financial position as at the end of 2019

God is love has the following inventory at the end of 2019                                                         UNIT COST PER UNIT Raw material                           500 2.5 WIP 2000 30 Finished goods        1000 35  Finished item is usually sell per $5 per unit. However water damage caused by improper storage of inventory will mean that 300 unit of finished goods will be sold at 60% of normal selling less cost, to sell of $ 5 per item. A further $5.5 is still to be incurred to finished off the item of WIP. In accordance IAS 2 at what amount should inventory be stated in statement of financial position as at the end of 2019

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter8: Inventories: Special Valuation Issues
Section: Chapter Questions
Problem 2MC: Moore Company uses the LIFO cost flow assumption and carries Product A in inventory on December 31,...
See similar textbooks
icon
Related questions
Topic Video
Question

God is love has the following inventory at the end of 2019

                                                       

UNIT

COST PER UNIT

Raw material                          

500

2.5

WIP

2000

30

Finished goods       

1000

35

 Finished item is usually sell per $5 per unit.

However water damage caused by improper storage of inventory will mean that 300 unit of finished goods will be sold at 60% of normal selling less cost, to sell of $ 5 per item. A further $5.5 is still to be incurred to finished off the item of WIP. In accordance IAS 2 at what amount should inventory be stated in statement of financial position as at the end of 2019

Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting for Merchandise Inventory
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS