Presented below is information related to Rembrandt Inc.’s inventory. (per unit) Skis Boots Parkas\nHistorical cost $190.00 $106.00 $53.00\nSelling pric
Presented below is information related to Rembrandt Inc.’s inventory. (per unit) Skis Boots Parkas
\r\nHistorical cost $190.00 $106.00 $53.00
\r\nSelling price 212.00 145.00 73.75
\r\nCost to distribute 19.00 8.00 2.50
\r\nCurrent replacement cost 203.00 105.00 51.00
\r\nNormal profi t margin 32.00 29.00 21.25
\r\nDetermine the following: (a) the two limits to market value (i.e., the ceiling and the floor) that should be used in the lower-of-cost-or-market computation for skis, (b) the cost amount that should be used inthe lower-of-cost-or-market comparison of boots, and (c) the market amount that should be used to valueparkas on the basis of the lower-of-cost-or-market.