Moore Company Purchased an Item for Inventory That Cost $20

question 16

Multiple Choice

Moore Company purchased an item for inventory that cost $20 per unit and was priced to sell at $30.It was determined that the replacement cost is $18 per unit.Using the lower-of-cost-or- market rule,what amount should be reported on the balance sheet for inventory?

• A)$18
• B)$20
• C)$12
• D)$30

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