Sedato company follows the practice of pricing its


Problem

Sedato Company follows the practice of pricing its inventory at the lower-of-cost-or-market, on an individual-item basis.

Item No.

Quantity

Cost
per
Unit

Cost to
Replace

Estimated Selling Price

Cost of Completion and Disposal

Normal
Profit

1320

1,900

$5.82

$5.46

$8.19

$O.64

$2.28

1333

1,600

4.91

4.19

6.19

0.91

0.91

1426

1,500

8.19

6.73

9.10

0.73

1.82

1437

1,700

6.55

5.64

5.82

0.82

1.64

1510

1,400

4.10

3.64

5.92

1.46

1.09

1522

1,200

5.46

4.91

7.10

0.73

0.91

1573

3,700

3.28

2.91

4.55

1.37

0.91

1626

1,700

8.55

9.46

10.92

0.91

1.82

From the information above, determine the amount of Sedato Company's inventory.

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Sedato company follows the practice of pricing its
Reference No:- TGS02587360

Now Priced at $15 (50% Discount)

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