Henke Co. uses the retail inventory method to estimate its inventory for interim statement purposes. Data relating to the computation of the inventory at July 31, 2014, are as follows: Under the lower-of-cost-or-market method, Henke's estimated inventory at July 31, 2014 is
A) $162,000.
B) $174,000.
C) $186,000.
D) $270,000.

Question

Henke Co. uses the retail inventory method to estimate its inventory for interim statement purposes. Data relating to the computation of the inventory at July 31, 2014, are as follows:  Under the lower-of-cost-or-market method, Henke's estimated inventory at July 31, 2014 is
A) $162,000. 
B) $174,000. 
C) $186,000. 
D) $270,000.

Quizplus · Accepted Answer

The Answer of Henke Co. uses the retail inventory method to estimate its inventory for interim statement purposes. Data relating to the computation of the inventory at July 31, 2014, are as follows:  Under the lower-of-cost-or-market method, Henke's estimated inventory at July 31, 2014 is
A) $162,000. 
B) $174,000. 
C) $186,000. 
D) $270,000.

Henke Co Uses the Retail Inventory Method to Estimate Its Inventory