The cost of Fulton's inventory at the end of the year was $145,000. Due to obsolescence, the cost to replace the inventory was only $90,000. Net realizable value-what the inventory could be sold for-is $102,000.
REQUIRED:
Determine the amount Fulton should report on its year-end balance sheet for inventory assuming the company follows a U.S. GAAP and b IFRS.

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The Answer of The cost of Fulton's inventory at the end of the year was $145,000. Due to obsolescence, the cost to replace the inventory was only $90,000. Net realizable value-what the inventory could be sold for-is $102,000.
REQUIRED:
Determine the amount Fulton should report on its year-end balance sheet for inventory assuming the company follows a U.S. GAAP and b IFRS.

The Cost of Fulton's Inventory at the End of the Year