| Part No. | Quantity | Cost P. Unit | Cost to Replace p. Unit |
| 110 | 600 | $90 | $100 |
| 111 | 1,000 | 60 | 52 |
| 112 | 500 | 80 | 76 |
| 113 | 200 | 170 | 180 |
| 120 | 400 | 205 | 208 |
| 121a | 1600 | 16 | 14 |
| 122 | 300 | 240 | 235 |
| Part No. 121 is obsolete and has a realizable value of $0.20 each as scrap |
| E9-1 (Lower-of-Cost-or-Market) The inventory of 3T Company on December 31, 2014, consists of the following items. |
| Instructions: |
| a) | Determine the inventory as of December 31, 2014, by the lower-of-cost-or-market method, applying this method directly to each item. |
| (b) Determine the inventory by the lower-of-cost-or-market method, applying the method to the total of the inventory |
etenal
e9-1workbook1.xlsx
