The controller of Greene Yard Company is applying the lower-of-cost-or-market basis of valuing its ending inventory. The following information is available: Cost ‾ Market Value ‾ Lawnmowers: Self propelled $ 16 , 800 $ 17 , 000 Push type 19 , 500 ‾ 18 , 000 ‾ Total 36.300 ‾ 35 , 000 ‾ \begin{array}{lcc} & \underline{ ext { Cost} } & \underline{ ext { Market Value }}\ ext { Lawnmowers: }\ ext { Self propelled } & \$ 16,800 & \$ 17,000 \ ext { Push type } & \underline{19,500 } & \underline{ 18,000} \ ext { Total } & \underline{36.300 } & \underline{ 35,000} \\end{array} Lawnmowers: Self propelled Push type Total Cost $16 , 800 19 , 500 36.300 Market Value $17 , 000 18 , 000 35 , 000 Snowblowers: ext { Snowblowers: } Snowblowers: Manual 29 , 800 30 , 000 Self-start 19 , 700 ‾ 21 , 000 ‾ Total 49 , 000 ‾ 51 , 000 ‾ Total inventory $ 85 , 800 ‾ $ 86 , 000 ‾ \begin{array}{lrr} ext { Manual } & 29,800 & 30,000 \ ext { Self-start } & \underline{19,700} & \underline{21,000} \\quad ext { Total } & \underline{49,000} & \underline{ 51,000} \ ext { Total inventory } & \underline{\$ 85,800} & \underline{\$86,000}\end{array} Manual Self-start Total Total inventory 29 , 800 19 , 700 49 , 000 $85 , 800 30 , 000 21 , 000 51 , 000 $86 , 000 InstructionsCompute the value of the ending inventory by applying the lower-of-cost-or-market basis.

Question

The controller of Greene Yard Company is applying the lower-of-cost-or-market basis of valuing its ending inventory. The following information is available:    Cost ‾  Market Value  ‾  Lawnmowers:   Self propelled  $ 16 , 800 $ 17 , 000  Push type  19 , 500 ‾ 18 , 000 ‾  Total  36.300 ‾ 35 , 000 ‾ \begin{array}{lcc} &  \underline{	ext { Cost} }  &  \underline{ 	ext { Market Value }}\	ext { Lawnmowers: }\	ext { Self propelled }  &  \$ 16,800  &  \$ 17,000 \ 	ext { Push type }  &  \underline{19,500 } & \underline{ 18,000} \ 	ext { Total }  &  \underline{36.300 } & \underline{ 35,000} \\end{array}  Lawnmowers:   Self propelled   Push type   Total  ​  Cost ​ $16 , 800 19 , 500 ​ 36.300 ​ ​  Market Value  ​ $17 , 000 18 , 000 ​ 35 , 000 ​ ​  Snowblowers:  	ext { Snowblowers: }  Snowblowers:   Manual  29 , 800 30 , 000  Self-start  19 , 700 ‾ 21 , 000 ‾  Total  49 , 000 ‾ 51 , 000 ‾  Total inventory  $ 85 , 800 ‾ $ 86 , 000 ‾ \begin{array}{lrr}	ext { Manual }  &  29,800  &  30,000 \	ext { Self-start }  &   \underline{19,700} &  \underline{21,000} \\quad 	ext { Total }  &  \underline{49,000}  &  \underline{ 51,000} \	ext { Total inventory }  &  \underline{\$ 85,800}  &  \underline{\$86,000}\end{array}  Manual   Self-start   Total   Total inventory  ​ 29 , 800 19 , 700 ​ 49 , 000 ​ $85 , 800 ​ ​ 30 , 000 21 , 000 ​ 51 , 000 ​ $86 , 000 ​ ​   InstructionsCompute the value of the ending inventory by applying the lower-of-cost-or-market basis.

Monika Tyczynski · Accepted Answer

Final Answer :   Lower-of-cost-or-market   Lawnmowers:   Self-propelled  $ 16 , 800  Push type  18 , 000 \begin{array}{lc} & 	ext { Lower-of-cost-or-market }\	ext { Lawnmowers: }\	ext { Self-propelled }  &  \$ 16,800 \	ext { Push type }  &  18,000\end{array}  Lawnmowers:   Self-propelled   Push type  ​  Lower-of-cost-or-market  $16 , 800 18 , 000 ​  Lower-of-cost-or-market   Snowblowers:   Manual  29 , 800  Self-start  19 , 700 ‾  Total inventory  $ 84 , 300 ‾ \begin{array}{lc} & 	ext { Lower-of-cost-or-market }\	ext { Snowblowers: }\	ext { Manual }  &  29,800 \	ext { Self-start }  &   \underline{19,700} \	ext { Total inventory }  &   \underline{\$ 84,300}\end{array}  Snowblowers:   Manual   Self-start   Total inventory  ​  Lower-of-cost-or-market  29 , 800 19 , 700 ​ $84 , 300 ​ ​

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