The Slayton Company uses a periodic inventory system and values its inventory at lower of cost or market. Its accounting records indicate the following information relating to inventory:
Required:
Prepare the required journal entries at December 31, 2015, and December 31, 2016, to record the inventory at lower of cost or market using the following methods:
a.Direct method
b.Allowance method

Question

The Slayton Company uses a periodic inventory system and values its inventory at lower of cost or market. Its accounting records indicate the following information relating to inventory:  
Required:
Prepare the required journal entries at December 31, 2015, and December 31, 2016, to record the inventory at lower of cost or market using the following methods:
a.Direct method
b.Allowance method

Quizplus · Accepted Answer

The Answer of The Slayton Company uses a periodic inventory system and values its inventory at lower of cost or market. Its accounting records indicate the following information relating to inventory:  
Required:
Prepare the required journal entries at December 31, 2015, and December 31, 2016, to record the inventory at lower of cost or market using the following methods:
a.Direct method
b.Allowance method

The Slayton Company Uses a Periodic Inventory System and Values