If the Replacement Cost of a Unit of Inventory Has

question 54

Multiple Choice

If the replacement cost of a unit of inventory has declined below original cost,but the replacement cost exceeds net realizable value,the amount to be used for purposes of inventory valuation is

• A) net realizable value.
• B) original cost.
• C) market value.
• D) net realizable value less a normal profit margin.

---

Definitions:

Opinions

Personal beliefs or judgments that are not necessarily based on fact or knowledge but on feelings, tastes, or experiences.

Brand Strategy

A long-term plan for the development of a successful brand in order to achieve specific goals.

Short-Term Plan

A strategy or set of objectives intended to be achieved in a short period, often less than a year.

Guerrilla Marketing

An advertising strategy that uses unconventional, low-cost tactics to promote products or services, often aimed at creating a viral or unexpected effect.