Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 22 Nov 2017 My Price 4.00

Oslo Corporation

Oslo Corporation has two products in its ending inventory, each accounted for at the lower of cost or market. Aprofit margin of 30% on selling price is considred normal for each product. Specific data with respect to each product follows:

Product 1 Product 2

Historical cost 20.00 35.00

Replacement cost 22.50 27.00

Estimated cost to dispose 5.00 13.00

Estimated selling price 40.00 65.00

In pricing its ending inventory using the lower of cost or market, waht units values should Oslo use for products #1 and # respectively?

Answer: 20.00 and 32.50

Please explain answer in detail

Answers

Maurice Tutor
(5)
Status NEW Posted 22 Nov 2017 10:11 PM My Price 4.00

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