Inventory That Originally Cost $11,200 Was Written Down to Its

question 1

Multiple Choice

Inventory that originally cost $11,200 was written down to its net realizable value of $9,400 at the end of 2021.At the end of 2022, the net realizable value is determined to be $11,700.At what amount should the inventory be reported on the December 31, 2022 statement of financial position?

• A)$11,700
• B)$11,200
• C)$9,700
• D)$9,400

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Definitions:

Tariffs

Taxes imposed on imported goods, often used to protect domestic industries from foreign competition.

Fair Trade

A social movement and market-based approach that aims to help producers in developing countries achieve better trading conditions and promote sustainability.

Free Trade

International trading practices characterized by minimal governmental intervention regarding tariffs, allowing for the unobstructed exchange of goods and services.

General Agreement on Trade and Tariffs

An international trade agreement signed in 1947, aimed at reducing tariffs and other trade barriers to promote global economic exchange.