ABC Ltd Purchased an Item Inventory at a Cost of $27

question 1

True/False

ABC Ltd purchased an item inventory at a cost of $27 000. The item was damaged during storage. The company could sell the item in its damaged state for $23 000, and in doing so incur selling costs of $1000. The net realisable value of the item of inventory is $23 000.

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Definitions:

Conventional Tone

A manner of communication that follows traditional or expected standards, often formal and reserved in nature.

Friendly

Characterized by kind, pleasant, and supportive behavior towards others, fostering positive interactions and relationships.

Polite

Showing or characterized by good manners and respect for the feelings of others.

Polite

Exhibiting courteous and considerate behavior or speech, especially in sensitive situations or communications.