Final answer:
To calculate the inventory value of the Crane company, additional details such as item costs and count, along with the valuation method used (e.g., FIFO, LIFO, or Average Cost), are necessary. Inventory value is reported as a current asset and affects COGS and net income.
Step-by-step explanation:
To determine the inventory value of the Crane company as of December 31, 2017, we would need additional information on the cost of each item in inventory and the quantity on hand. Typically, a company can use different methods to calculate inventory value, such as First-In-First-Out (FIFO), Last-In-First-Out (LIFO), or Average Cost Method. Without the inventory counts and valuation method, it is not possible to provide an exact figure. However, the inventory value represents the cost of all items held by a company that are intended for sale and it is recorded on the balance sheet as a current asset. It is crucial for businesses to accurately report inventory since it affects the cost of goods sold (COGS) and net income.