Question

Beerbo follows the lower-of-cost-or-market (LCM) rule to value its inventory.  All of Beerbo's products have a 10% profit margin on selling price. Per unit information about Beerbo Inc.'s inventory of products is as follows:

	A	B	C	D	E
Historical cost	$80	$100	$50	$90	$95
Replacement cost	$88	$90	$45	$36	$105
Estimated selling price	$140	$130	$80	$100	$120
Estimated cost to complete	$15	$22	$40	$19	$11
Estimated cost to dispose / sell	$5	$8	$0	$9	$17

For each product category below, input the appropriate per unit information.

	A	B	C	D
Designated market value	$	$	$	$	$
Historical cost of inventory	$	$	$	$	$
Final inventory value (LCM)	$	$	$	$	$
Adjustment needed to reduce inventory to market	$	$	$	$	$

Answer 1