Reference no: EM131794290
Please read the question carefully. (not under a perpetual inventory system)
Monster Company began operations in 2013 and, as presented below, determined its ending inventory at cost and at NRV as of December 31, 2013, December 31, 2014, December 31, 2015.
Date Cost Net Realizable Value
12/31/13 $356,000 $349,000
12/31/14 336,000 325,000
12/31/15 316,000 350,000
a. Prepare the journal entries required at 12/31/2013, 12/31/2014, and 12/31/2015 using a contra-asset account, assuming that the inventory is recorded at LCNRV, using the cost-of -goods -sold method.
b. Prepare the journal entries required at 12/31/2013, 12/31/2014, and 12/31/2015 using a contra-asset account, assuming that the inventory is recorded at LCNRV, the loss method.
c. in each year, which of the two methods above provides the higher net income?
|
What is the effective day rate on the paper
: Horizon Telecom sold $300,000 wor th of 120-day commercial paper for $298,000. What is the dollar amount of interest paid on the commercial paper
|
|
What basis does he have in the stock
: Does Ashley recognize any gain or loss on incorporation? What basis does he have in the stock? What basis does the corporation have in the assets it receives?
|
|
Marketers should observe differences in language and meaning
: Marketers should observe differences in language and meaning, differences in market segmentation opportunities, and differences in consumption patterns,
|
|
What is the effective annual rate of interest on the line
: The stated interest rate on the borrowed funds is 10%. What is the effective annual rate of interest on the line of credit
|
|
Determined its ending inventory at cost
: Monster Company began operations in 2013 and, as presented below, determined its ending inventory at cost and at NRV as of December
|
|
Explain what may be going on by adding chemical
: It is found that a certain plasma etch chemistry in a certain RIE etch system pro-duces vertical sidewalls with zero etch bias when etching a particular film.
|
|
Public image is more important to creatives
: Public image is more important to Creatives than it is to all teens, in general.
|
|
What is Niendorf new required return
: Niendorf Corporation's stock has a required return of 15.00%, the risk-free rate is 4.00%, and the market risk premium is 5.00%.
|
|
What are the tax consequences of the distribution to iceberg
: Iceberg Lounge, Inc., is an accrual basis corporation. What are the tax consequences of the distribution to Iceberg and Oswald (no one cares about Butch).
|