The following data refer to Sean Company's ending inventory:
How much is ending inventory if the lower of cost or market rule is applied to the total inventory?
A) $35,224
B) $35,220
C) $35,248
D) $34,140

Question

The following data refer to Sean Company's ending inventory:
 How much is ending inventory if the lower of cost or market rule is applied to the total inventory?
A) $35,224 
B) $35,220 
C) $35,248 
D) $34,140

Quizplus · Accepted Answer

Rationale:
Cost: (45 x $128) + (60 x $184) + (65 x $168) + (35 x $216) = $35,280
Market: (45 × $152) + (60 × $176) + (65 × $160) + (35 × $212) = $35,220
Lowest total is market.

The Following Data Refer to Sean Company's Ending Inventory