Which of the Following Is Used for Net Realisable Value

question 32

Multiple Choice

Which of the following is used for net realisable value when valuing inventory at lower-of-cost-and-net-realisable-value?

• A)Sales price less the company's normal markup percentage
• B)Sales price
• C)Sales price less costs of completing,marketing,selling and distributing the inventory to customers
• D)Cost plus the company's normal markup percentage

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Definitions:

Bivariate Distributions

Probability distributions that involve two random variables, analyzing the correlation and dependencies between them.

Expected Values

The predicted value of a variable, calculated as the sum of all possible values each multiplied by the probability of its occurrence.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of data values.

Mean

Mean is the arithmetic average of a set of numbers, calculated by dividing the sum of these numbers by the count of numbers in the set.