What amount should Ashland report as inventory

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Problem - Ashland Company has determined the cost of its fiscal year-end unfinished FIFO inventory to be $360,000. Information pertaining to that inventory at year-end is as follows:

Estimated selling price $396,000

Estimated cost of disposal 24,000

Normal profit margin 10%

Current replacement cost 336,000

Estimated completion costs 18,000

Ashland has adopted the lower-of-FIFO-cost-or-net-realizable-value approach to valuing inventory. What amount should Ashland report as inventory on its year-end balance sheet?

Reference no: EM132902814

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