Question 1 Crane Company uses the LCNRV method, on an individual-item basis, in

Question

Question 1 Crane Company uses the LCNRV method, on an individual-item basis, in pricing its inventory items. The inventory at December 31, 2017, consists of products D, E, F, G, H, and I. Relevant per unit data for these products appear below Item D ItemE Item F Item G Item H Item I 30 $106 Estimated selling price Cost Cost to complete Selling costs $142 89 35 12 $130 94 35 21 $112 94 30 12 $106 94 41 24 59 35 12 42 35 24 Using the LCNRV rule, determine the proper unit value for balance sheet reporting purposes at December 31, 2017, for each of the inventory items above. Item D Item E Item Fs Item Gs Item H Item I s

Explanation / Answer

Particulars D E F G H I Cost (A) 89 94 94 94 59 42 Sell Price 142 130 112 106 130 106 Less: cost to complete 35 35 30 41 35 35 Less: selling cost 12 21 12 24 12 24 Net Realisable Value (B) 95 74 70 41 83 47 Cost of Inventory 89 74 70 41 59 42

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.