Lower of Cost or Market - The Stiles Corporation uses the lower of cost or market method for each of two products in its ending inventory. A profit margin of 30% on the selling price is considered normal for each product. Specific data for each product are as follows:
|
Product A
|
Product B
|
|
Historical cost
|
$68
|
$91
|
|
Replacement cost
|
60
|
93
|
|
Estimated cost of disposal
|
32
|
52
|
|
Estimated selling price
|
140
|
200
|
Required
What is the correct inventory value for each product?