Final Exam ACC 422

(per unit)

Skis

Boots

Parkas

Historical cost

$255.93

$142.78

$71.39

Selling price

292.30

195.32

99.34

Cost to distribute

25.59

10.78

3.37

Current replacement cost

273.44

141.44

68.70

Normal profit margin

43.10

39.06

28.62

(a)

the two limits to market value (e.g., the ceiling and the floor) that should be used in the lower of cost or market computation for skis;(Round answers to 2 decimal places, e.g. 20.25.)

Ceiling

$

Floor

$

(b)

the cost amount that should be used in the lower of cost or market comparison of boots;(Round answer to 2 decimal places, e.g. 20.25.)

Cost amount

$

(c)

the market amount that should be used to value parkas on the basis of the lower of cost or market.(Round answer to 2 decimal places, e.g. 20.25.)

Market amount

$