Question Details

(Solution) - The lower of cost and net realizable value approach to

Brief item decscription

Solution download

Item details:

The lower of cost and net realizable value approach to valuing inventory is a departure from the accounting principle of reporting assets at their historical costs. There are those who believe that inventory, as well as other assets, should be valued at market, regardless of whether market is above or below cost. The focus of this case is the justification for the lower of cost and net realizable value rule for valuing inventories. Your instructor will divide the class into two to six groups depending on the size of the class. The mission of your group is to defend the lower of cost and net realizable value approach against the alternatives of valuing inventory at either historical cost or market value.
1. Each group member should consider the situation independently and draft a tentative argument prior to the class session for which the case is assigned.
2. In class, each group will meet for 10 to 15 minutes in different areas of the classroom. During that meeting, group members will take turns sharing their suggestions for the purpose of arriving at a single group argument.


About this question:

This question was answered on: Jul 11, 2017

PRICE: $15 (18.37 KB)

Buy this answer for only: $15

Pay using PayPal (No PayPal account Required) or your credit card. All your purchases are securely protected by PayPal.

Need a similar solution fast, written anew from scratch? Place your own custom order

We have top-notch tutors who can help you with your essay at a reasonable cost and then you can simply use that essay as a template to build your own arguments. This we believe is a better way of understanding a problem and makes use of the efficiency of time of the student. New solution orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.

Order Now