Net Realizable Value - Meaning, How To Calculate, Example
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Fine Leather Ltd. had the following inventory at December 31, 2017:Item Quantity Per Unit Net Realizable Value Cost ValueLeather blazers Model 154 35 170180Model 160 30 215203Model 165 12 260274Handbags Model 11 60 18044Model 12 54 20359Model 13 25 27471Required:1. Determine the value of ending inventory that should be reported on the statement of financial position by applying the LC NRV rule to:a. Each item of inventoryb. Each major category of inventoryc. Total inventory
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