The following information pertains to the physical inventory of Electronics Unlimited taken at December 31:Per UnitUnits onProductHandCostNRVAudio equipment:Wireless audio receivers344$181$192Touchscreen MP3 players259216196Audio mixers325170186Audio standsVideo equipment:Televisions20396784792912455GB video cards290176164Satellite video recorders211611640Car equipment:GPS navigators184138164Double-DIN Car Deck with iPod/iPhone Control169191206and Aux InputRequired:1. Calculate the LCNRV for the:a. inventory by major groupb. inventory, applied separately to each product.4Per UnitLCNRV applied to:a.InventoryItemsUnits on HandCostNRVTotal costTotal NRVMajorGroupAudio equipmentWireless audio receivers344 S181 S192Touchscreen MP3 players259216196325170186Audio mixersb.Separatelyto EachProduct

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Answered: Required: 1. Calculate the LCNRV for…

Required: 1. Calculate the LCNRV for the: a. inventory by major group b. inventory, applied separately to each product. 4

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.

Question

The following information pertains to the physical inventory of Electronics Unlimited taken at December 31:
Per Unit
Units on
Product
Hand
Cost
NRV
Audio equipment:
Wireless audio receivers
344
$181
$192
Touchscreen MP3 players
259
216
196
Audio mixers
325
170
186
Audio stands
Video equipment:
Televisions
203
96
78
479
291
245
5GB video cards
290
176
164
Satellite video recorders
211
611
640
Car equipment:
GPS navigators
184
138
164
Double-DIN Car Deck with iPod/iPhone Control
169
191
206
and Aux Input
Required:
1. Calculate the LCNRV for the:
a. inventory by major group
b. inventory, applied separately to each product.
4
Per Unit
LCNRV applied to:
a.
Inventory
Items
Units on Hand
Cost
NRV
Total cost
Total NRV
Major
Group
Audio equipment
Wireless audio receivers
344 S
181 S
192
Touchscreen MP3 players
259
216
196
325
170
186
Audio mixers
b.
Separately
to Each
Product

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