Business, 21.12.2019 03:31 wananikwecurley99
Gail co. has determined the cost of its 12/31/year 1 inventory on a moving-average basis to be $200,000. information pertaining to that inventory at year-end is as follows:
estimated selling price - $215,000
estimated cost of disposal - 10,000
normal profit margin - 20,000
current replacement cost - 190,000
what loss on inventory write-down, if any, should be recognized in gail's year 1 income statement?
a. $10,000
b. $15,000
c. $0
d. $20,000
Answers: 2
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Gail co. has determined the cost of its 12/31/year 1 inventory on a moving-average basis to be $200,...
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