Reference no: EM132643371

Information on ABC Co.'s December 31, 20x1 inventory is shown below:

                                      Product A                 Product B                    Product C

Purchase price             100,000                   250,000                  300,000

Freight in                        12,000                30,000                        36,000

Selling price                      210,000              300,000                   570,000

Freight out                       10,500                75,000                     11,400

General Overhead Cost            6,300              9,000                       17,100

Requirements:

Question a. Compute or the inventory to be presented in ABC's December 31,20x1 statement of financial position.

Question b. Compute for the amount of write-down to be recognized in 20x1 profit or loss.