Lower-of-cost-or-market method

On the basis of the following data, determine the value of the inventory at the lower-of-cost-or-market by applying lower-of-cost-or-market to each inventory item, as shown in Exhibit 10.


Commodity Inventory
Quantity Cost per
Unit Market Value per Unit
(Net Realizable Value)
JFW1 6,330 $10 $11
SAW9 1,140 36 34