Question

Data related to the inventories of Costco Medical Supply are presented below: Surgical Equipment Surgical Supplies Rehab Equipment Rehab Supplies Selling price $ 272 $ 130 $ 350 $ 164 Cost 167 129 257 161 Costs to sell 28 18 19 10 In applying the lower of cost or net realizable value rule, the inventory of surgical supplies would be valued at:

Answer 1

The following are the table attachment to this question.

Step-by-step explanation:

In the given question a table is defined, in the column section, we assign "Particulars, Surgical Equipment, Surgical Supplies Rehab Equipment, Rehab Supplies, and total " and in the row section we assign values.

• In the next step, to calculate the net realizable value, we subtract selling price from the cost to cell, and compare the value from the costs.
• If the value is smaller than then the net realizable value we write its value and at last total column we add all the net realizable value, which is equal to 690.
• In this table, the value of rehab supplies is $154.