The Slayton Company uses a periodic inventory system and values its inventory at lower of cost or NRV. Its accounting records indicate the following information relating to inventory: Prepare the required journal entries at December 31, 2019, and December 31, 2020, to record the inventory at lower of cost or market using the following methods:
a. Direct method
b. Allowance method

Question

The Slayton Company uses a periodic inventory system and values its inventory at lower of cost or NRV. Its accounting records indicate the following information relating to inventory:  Prepare the required journal entries at December 31, 2019, and December 31, 2020, to record the inventory at lower of cost or market using the following methods: 
a. Direct method
b. Allowance method

Quizplus · Accepted Answer

The Answer of The Slayton Company uses a periodic inventory system and values its inventory at lower of cost or NRV. Its accounting records indicate the following information relating to inventory:  Prepare the required journal entries at December 31, 2019, and December 31, 2020, to record the inventory at lower of cost or market using the following methods: 
a. Direct method
b. Allowance method

The Slayton Company Uses a Periodic Inventory System and Values