FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Lower-of-Cost-or-Market Inventory
On the basis of the following data, determine the value of the inventory at the lower of cost or market. Assemble the data in the form illustrated in Exhibit 9.
| Inventory Item |
Inventory Quantity |
Cost per Unit |
Market Value per Unit (Net Realizable Value) |
|
| Birch | 24 | $156 | $151 | |
| Cypress | 13 | 156 | 165 | |
| Mountain Ash | 17 | 266 | 284 | |
| Spruce | 25 | 115 | 139 | |
| Willow | 9 | 193 | 169 |
| Inventory at the Lower of Cost or Market | |||
| Inventory Item | Total Cost | Total Market | Total LCM |
| Birch | $fill in the blank 1 | $fill in the blank 2 | $fill in the blank 3 |
| Cypress | fill in the blank 4 | fill in the blank 5 | fill in the blank 6 |
| Mountain Ash | fill in the blank 7 | fill in the blank 8 | fill in the blank 9 |
| Spruce | fill in the blank 10 | fill in the blank 11 | fill in the blank 12 |
| Willow | fill in the blank 13 | fill in the blank 14 | fill in the blank 15 |
| Total | $fill in the blank 16 | $fill in the blank 17 | $fill in the blank 18 |
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