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tangare [24]
3 years ago
9

The lower of cost and market value (net realizable value) rule causes losses in the value of inventory to be recognized in the p

eriod when:_______.
a. The value of inventory declines below cost.
b. The inventory is sold.
c. The inventory is purchased.
d. Cash collection from the customer fails to occur.
Business
1 answer:
Gala2k [10]3 years ago
6 0

Answer:

a. The value of inventory declines below cost.

Explanation:

  • The inventory values are the total cost of the value calculated at the ends of the inventory accounting period and the market value is compared by the lowering of the inventory costs.  
  • For each type of the item the net realized values cause a loss in the values of the inventory which needs to be recognized.
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Laura is carefully estimating the time required for each phase of a proposed system development project to see if her company ca
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Suppose a bond with a 10% coupon rate and annual coupons, has a face value of $1,000, 5 years to maturity and is selling for $1,
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<u>Solution and Explanation:</u>

1. the Yield to maturity

FV = 1,000

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3 years ago
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Answer:

Explanation:

The journal entry is shown below:

Supplies expense A/c Dr $1,700

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