1) A retail furniture dealer counted the following goods in inventory on December 31. An accountant...

1)

A retail furniture dealer counted the following goods in inventory on December 31. An accountant recommended that the inventory items be valued at the lower of cost or market price. Compute the total value of the inventory based on the lower of cost or market price. If required, round your answers to two decimal places.

Article	Quantity	Unit Cost Price	Extension at Cost	Unit Market Price	Extension at Market	Inventory Value at Lower of Cost or Market
Armchairs, wood	17	$64.40	$	$68.90	$	$
Armchairs, tapestry	13	99.60	$	95.60	$	$
Armchairs, Windsor	15	101.70	$	109.20	$	$
Beds, bunk	13	86.10	$	90.60	$	$
Bedroom suites	4	340.50	$	336.50	$	$
Tables, coffee	34	53.80	$	49.30	$	$
Chairs, kitchen	20	19.10	$	28.60	$	$
Dining tables	15	143.50	$	136.50	$	$
Dining suites	11	289.40	$	290.40	$	$
Sofa sets	14	341.20	$	349.20	$	$
Total			$		$	$

Expert Solution

Article	Quantity	Unit Cost Price	Extension at Cost	Unit Market Price	Extension at Market	Inventory Value at Lower of Cost or Market
Armchairs, wood	17	$64.40	$1,094.80	$68.90	$1,171.30	$1,094.80
Armchairs, tapestry	13	99.6	$1,294.80	95.6	$1,242.80	$1,242.80
Armchairs, Windsor	15	101.7	$1,525.50	109.2	$1,638.00	$1,525.50
Beds, bunk	13	86.1	$1,119.30	90.6	$1,177.80	$1,119.30
Bedroom suites	4	340.5	$1,362.00	336.5	$1,346.00	$1,346.00
Tables, coffee	34	53.8	$1,829.20	49.3	$1,676.20	$1,676.20
Chairs, kitchen	20	19.1	$382.00	28.6	$572.00	$382.00
Dining tables	15	143.5	$2,152.50	136.5	$2,047.50	$2,047.50
Dining suites	11	289.4	$3,183.40	290.4	$3,194.40	$3,183.40
Sofa sets	14	341.2	$4,776.80	349.2	$4,888.80	$4,776.80
Total			$18,720.30		$18,954.80	$18,394.30

Kindly comment if you need further assistance.

Thanks‼!

ekkarill92 answered 2 years ago

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