Why might inventory be reported at sales prices (net realizable value or market price) rather than cost?
A) When there is a controlled market with a quoted price applicable to all quantities and when there are no significant costs of disposal.
B) When there are no significant costs of disposal.
C) When a non-cancellable contract exists to sell the inventory.
D) When there is a controlled market with a quoted price applicable to all quantities.

Question

Quizplus · Accepted Answer

Inventory might be reported at sales prices when there is a controlled market with a quoted price applicable to all quantities and when there are no significant costs of disposal, as this allows for a more accurate reflection of the inventory's value.

Why Might Inventory Be Reported at Sales Prices (Net Realizable