Given the Following Data Which of the Following Depicts the Proper Account Balance After

question 50

Multiple Choice

Given the following data: $\begin{array} { | l | r | } \hline\text { Ending inventory at cost } & \$ 62,000 \\\hline \text { Ending inventory at net realizable value } & 61,000 \\\hline \begin{array} { c } \text { Cost of goods sold (before consideration of the } \\\text { lower-of-cost-and-net-realizable-value rule) }\end{array} & 104,000 \\\hline\end{array}$ Which of the following depicts the proper account balance after the application of the lower-of-cost-and-net realizable value rule?

• A)Cost of goods sold will be $105,000.
• B)Cost of goods sold will be $104,000.
• C)Cost of goods sold will be $61,000.
• D)Ending inventory will be $62,000.