Prepare the journal entries required at 31 december 2010

Assignment Help Accounting Basics
Reference no: EM131117624

Entries for Lower-of-Cost-or-Market-Direct and Allowance Malone Company determined its ending inventory at cost and at lower-of-cost-or-market at December 31, 2009, December 31, 2010, and December 31, 2011, as shown below.

(a) Prepare the journal entries required at December 31, 2010, and at December 31, 2011, assuming that a perpetual inventory system and the direct method of adjusting to lower-of-cost-or-market is used.

(b) Prepare the journal entries required at December 31, 2010, and at December 31, 2011, assuming that a perpetual inventory is recorded at cost and reduced to lower-of-cost-or-market through the use of an allowance account (indirect method). 

702_11-B-A-V-I (142).PNG

Reference no: EM131117624

Questions Cloud

Gross profit method eastman company : Gross Profit Method Eastman Company lost most of its inventory in a fire in December just before the year-end physical inventory was taken. Corporate records disclose the following.
Prepare a statement of revenue : From the following data, prepare a statement of revenue for the year ended 30th June 19X7.
Does this distribution have positive skew or negative skew : Complete the frequency table with frequency and relative frequency. Express the relative frequency to two decimal places. What percentage of the commute times was at least 30 minutes?
Estimated revenue and actual revenue : A revenue account records only the estimated revenue and actual revenue from each particular revenue source for the governmental unit.
Prepare the journal entries required at 31 december 2010 : Prepare the journal entries required at December 31, 2010, and at December 31, 2011, assuming that a perpetual inventory system and the direct method of adjusting to lower-of-cost-or-market is used.
Expenditure details of the ministry of agriculture : The approved estimates and actual expenditure details of the Ministry of Agriculture for the year 19X7/19X8 were as follows:
Determine the proper balance in the allowance to reduce : Explain the rationale for the use of the lower-of-cost-or-market rule as it applies to inventories.(CMA adapted)
Different governmental units : During a budget speech, the Minister for Finance will give detailed appropriations (allocations) of funds to different governmental units.
What is the mass of the moon : What is the mass of the moon in comparison to planet earth?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Based on predicted production of 19000 units a company

based on predicted production of 19000 units a company anticipates 9500 of fixed costs and 25650 of variable costs. the

  The account payable for office furnishings purchased

The account payable for office furnishings purchased

  Prepare a table that decomposes the total purchase price

Required: Prepare a table that decomposes the total purchase price of the zinc ($5,530) into its various components as calculated by the standard cost system

  Recorded a total deferred tax asset

Cinnamon, Inc. recorded a total deferred tax asset in 2007 of $12,301, off set by a $12,301 valuation allowance. Cinnamon most likely: A. fully utilized the deferred tax asset in 2007.

  State and federal elections

Opinion polls attempt to predict the results of local, state and federal elections. Discuss six reasons why the results of the opinion poll and the outcome of the election may differ.

  Ramos corp uses a process costing system to assign costs to

ramos corp. uses a process costing system to assign costs to its steel production. during march 2013 ramos had

  For kozy company actual sales are 1311500 and break-even

for kozy company actual sales are 1311500 and break-even sales are 890500. compute the following a the margin of safety

  What is the total dollar amount in common stock

Tonka Trucking has 150,000 common shares outstanding with a $0.01 par value and $20 current market value. Treasury stock is reported at $25,000 with an average cost of $5 per share. What is the total dollar amount in ‘Common Stock'?

  When should costs be expensed

When should costs be expensed and when should costs be capitalized?

  Advantages and disadvantages of using the internet

Describe the advantages and disadvantages of using the Internet to search for a job.

  Direct materials and direct labor variances

Party Balloons Company produces Mylar balloons. The company's direct materials standards for its deluxe balloon include 3 ounces of Mylar.

  What is the recognized gain or loss

Question 9. (TCO 6) Judy exchanges a rental house at the beach with an adjusted basis of $165,000 and a fair market value of $150,000 for a rental house at the mountains with a fair market value of $100,000 and cash of $50,000. What is the reco..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd