ACC 304 Course Great Wisdom / tutorialrank.com ACC 304 Course Great Wisdom / tutorialrank.com | Page 85
b. a loss is recorded directly in the inventory account by
crediting inventory and debiting loss on inventory decline.
c. only the portion of the loss attributable to inventory sold
during the period is recorded in the financial statements.
d. the market value figure for ending inventory is substituted
for cost and the loss is buried in cost of goods sold.
29. Lower-of-cost-or-market as it applies to inventory is
best described as the