Dakota Industries Has Two Items in Inventory as of December

question 97

Short Answer

Dakota Industries has two items in inventory as of December 31, 2010. Each item was purchased for $52. Company management chose to write down Item #1 to $39, which at year-end was assessed to be its market value. Management did not write down Item #2 because its market value was estimated to be greater than $52. During 2010, each item was sold for $63 cash. The journal entry for the write down of Item #1 would include which of the following?

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Definitions:

Income Gap

The disparity in income and wealth between different groups in society, often highlighting inequality between individuals, races, genders, or countries.

Culture-Structure Account

An approach to analyzing social phenomena by examining the interplay between cultural norms and social structures.

Racial Inequality

Refers to disparities in treatment, opportunity, and representation experienced by individuals across different races.

Racial Formation

A way in which societies organize and distribute resources and opportunities based on perceived race, affecting individuals' social, economic, and political identities.