The Lower of Cost and Net Realizable Value Should Be

question 48

True/False

The lower of cost and net realizable value should be applied to the total inventory, rather than to individual inventory items.

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Definitions:

Gratuitous Assignment

A transfer of rights or property done freely without the expectation of receiving something in return.

Revocable

means capable of being withdrawn, cancelled, or reversed, often used in the context of trusts or agreements.

Notification of Revocation

The formal process of informing parties involved that a decision, offer, or agreement has been cancelled or withdrawn.

Assignor's Death

In contract law, the death of the assignor does not necessarily terminate the assignment unless the contract stipulates otherwise.