See the attached problem file.
Determine the proper balance in the allowance to reduce inventory to market at May 31, 2007.
For the fiscal year ended May 31, 2007, determine the amount of gain or loss that would be recorded due to the change in the allowance to reduce inventory to market.© BrainMass Inc. brainmass.com May 20, 2020, 5:45 pm ad1c9bdddf
See attached file.
The method of determining lower of cost or market is a simple comparison. Please see attached spreadsheet to illustrate how these ...
Calculations and reasoning for determining inventory valuation for the lower of cost or market method are provided.