Question
In: Accounting
Consider the following information pertaining to OldWest's inventory: Product Quantity Cost Net Realizable Value Revolvers...
Consider the following information pertaining to OldWest's inventory:
| Product | Quantity | Cost | Net Realizable Value | ||||||
| Revolvers | 17 | $ | 124 | $ | 159 | ||||
| Spurs | 28 | 25 | 20 | ||||||
| Hats | 11 | 54 | 44 | ||||||
-
$3,152.
-
$3,402.
-
$3,244.
-
$3,747.
At what amount should OldWest report its inventory?
Solutions
Expert Solution
| Product line | Quantity (a) | Unit cost (b) | Total Cost (a x b) | Net Realizable value | LC&NRV per item (d) | Total LC&NRV (a x d) |
| Revolvers | 17 | 124 | 2,108 | 159 | 124 | 2,108 |
| Spurs | 28 | 25 | 700 | 20 | 20 | 560 |
| Hats | 11 | 54 | 594 | 44 | 44 | 484 |
| Total | $3,402 | $3,152 |
OldWest should report its inventory at = $3,152
First option is correct.
Kindly comment if you need further assistance. Thanks
ekkarill92 answered 1 year agoRelated Solutions
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