Question

Swifty Company developed the following information about its inventories in applying the lower-of-cost-or-net realizable value basis in valuing inventories. Product Cost Net realizable value A $112000 $122000 B 84000 76000 C 153000 156000 If Swifty applies the LCNRV basis, the value of the inventory reported on the balance sheet would be $354,000. $362,000. $341,000. $349,000.

Answer 1

$341,000

Step-by-step explanation:

Calculation to determine what the value of the inventory reported on the balance sheet would be

Inventory value=$112000+ 76000+153000

Inventory value=$341,000

Therefore If Swifty applies the LCNRV basis, the value of the inventory reported on the balance sheet would be $341,000