Martinez company’s ending inventory includes the following items

Question 1

Martinez company’s ending inventory includes the following items

Question 2

Martinez Company’s ending inventory includes the following items.

Per Unit
ProductUnitsCostMarket
Helmets40$ 62$ 58
Bats3380112
Shoes5499103
Uniforms584444

Question 3

Answer to question 1

  Per UnitTotal 
ProductUnitsCostMarketCostMarketLCM applied to: Products
Helmets34$56$52$1,904$1,768$1,768
Bats27$74$80$1,998$2,160$1,998
Shoes48$93$97$4,464$4,656$4,464
Uniforms52$38$38$1,976$1,976$1,976
    $10,342$10,560$10,206

Answer to question 2

The total value of ending inventory calculated using the lower of cost or market value is $12,858

Explanation:

ProductCost ($)Market ($)Lower of cost or market ($)
Helmets2,480 (40 x 62)2,320 (40 x 58)2,320
Bats2,640 (33 x 80)3,696 (33 x 112)2,640
Shoes5,346 (54 x 99)5,562 (54 x 103)5,346
Uniforms2,552 (58 x 44)2,552 (58 x 44)2,552
Total13,01814,13012,858

Answer to question 3

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