ACC 304 Course Great Wisdom / tutorialrank.com ACC 304 Course Great Wisdom / tutorialrank.com | Page 182

—

Net markdowns

Sales

—

42,000

1,008,000

If the foregoing figures are verified and a count of the ending
inventory reveals that merchandise actually on hand amounts to
$108,000 at retail, the business has

11) Muckenthaler Company sells product 2005WSC for $40 per
unit. The cost of one unit of 2005WSC is $36, and the replacement
cost is $35. The estimated cost to dispose of a unit is $8, and the
normal profit is 40%. At what amount per unit should product
2005WSC be reported, applying lower-of-cost-or-market?

12) Muckenthaler Company sells product 2005WSC for $40 per
unit. The cost of one unit of 2005WSC is $36, and the replacement
cost is $35. The estimated cost to dispose of a unit is $8, and the
normal profit is 40%. At what amount per unit should product
2005WSC be reported, applying lower-of-cost-or-market?