You Just Landed Your Dream Job - Doing Accounting for a Small

You just landed your dream job - doing accounting for a small, organic farm! Due to high demand for the popular honeycrisp apples, the owner is looking to expand. She has asked you to prepare a set of financial statements for the bank to review with her loan application. The apples have been picked and boxed up, but have not been sold or shipped yet. You are unsure how to report the apples on the balance sheet. You have never dealt with inventory valuation for agricultural products. Complete the first two steps of the research process based on the information provided in this problem.