Answer:
Total Value of ending inventory = $25,666
Explanation:
Provided
Item Cost of Inventory Net Realizable Value Rate Qty. Value
Cameras $64 $76 $64 106 $6,784
Blu-ray $78 $54 $54 167 $9,018
i-Pods $90 $72 $72 137 $9,864
Total Value of ending inventory = $6,784 + $9,018 + $9,864 = $25,666
Under lower of cost or net realizable value each item is considered separately and then cost is allocated accordingly.
Therefore for Cameras we have taken Cost as it is less than NRV
For Blu-ray Players NRV is less than cost, thus NRV is considered.
For i-Pods NRV is less than cost, thus NRV is considered.
Total Value of ending inventory = $25,666
