When the lower of cost and net realizable value (LC&NRV)rule requires an inventory adjustment:
A)the adjustment usually,but not always,reduces the book value of inventory.
B)the write down is usually reported as a selling expense or as part of cost of goods sold.
C)the inventory adjustment is recorded in a contra-revenue account called sales allowances.
D)all of the answers are correct.

Question

Quizplus · Accepted Answer

The Answer of When the lower of cost and net realizable value (LC&NRV)rule requires an inventory adjustment:
A)the adjustment usually,but not always,reduces the book value of inventory.
B)the write down is usually reported as a selling expense or as part of cost of goods sold.
C)the inventory adjustment is recorded in a contra-revenue account called sales allowances.
D)all of the answers are correct.

When the Lower of Cost and Net Realizable Value (LC&NRV)rule