Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the following information pertains to hagen metal

The following information pertains to Hagen Metal Works ending inventory for the current year: ...

70.2K

Verified Solution

Question

Accounting

The following information pertains to Hagen Metal Works ending inventory for the current year:

Unit

Unit

Item

Quantity

Cost

Market Value

C

260

$ 13

$ 10

D

250

15

14

K

70

11

14

M

62

8

14

Required

a.

Determine the value of the ending inventory using the lower-of-cost-or-market rule applied to (1) each individual inventory item and (2) the inventory in aggregate.

Ending Inventory

Individual item method

Aggregate method

b.

Prepare any necessary journal entries, assuming the decline in value is immaterial, using the (1) individual method and (2) aggregate method. Hagen Metal Works uses the perpetual inventory system. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Event 1: record entry for cost of goods sold using individual item methods

Event 2: record the entry for cost of goods sold using aggregate method.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

How is the balance of T-account determined? Must it always be on the increase side of...

Accounting
Q

Give an isomorphism that proves the two vector spaces M3,2 and P5 are isometric to each...

Advance Math
Q

(In simple terms) What is Cotten Seilers thesis in Republic of Drivers? Also, what examples back...

Psychology
Q

A company determines that its marginal revenue per day is given by R t where...

Calculus
Q

An engine cylinder 15 0 cm deep is being bored such that the radius increases...

Calculus
Q

Careers G google translate G Member Login US YouTube to Mp3 C CCBubble Knee Len...

Calculus
Q

The financial budgets of a business include the cash budget, the budgeted income statement, and...

Accounting
Q

Describe the difference between the Excess of Revenues over Expenses and the Increase in Unrestricted...

Accounting
Q

Question 1 (20 points) Listen A sales person at the conventional moral development level...

Accounting
Q

2. Vouch a sample of receiving reports to related purchase orders ? a) Occcurence b)...

Accounting
Q

On January 1, 2018, the Brunswick Hat Company adopted the dollar-value LIFO retail method. The...

Accounting
Q

Projecting NOPAT and NOA Using Parsimonious Forecasting Method Following are Cisco Systems sales, net operating...

Accounting