Ask Question
BusinessBusiness
5 September, 08:01

Explain why the lower of cost or market rule is used to value inventory.

+4
Answers (1)
  1. 5 September, 08:23
    0
    The lower of cost or market (LCM) method is an inventory costing method that values inventory at the lower of its past cost or its current market cost. The word cost defines to historical cost of inventory as intent under the specific identification.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Explain why the lower of cost or market rule is used to value inventory. ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
You have $19,000 you want to invest for the next 28 years. You are offered an investment plan that will pay you 8 percent per year for the next 14 years and 12 percent per year for the last 14 years. a.
Answers (1)
What is the prime minister of united state of america
Answers (1)
Summary operating data for Custom Wire & Tubing Company during the year ended April 30, 2019, are as follows: cost of merchandise sold, $6,100,000; administrative expenses, $740,000; interest expense, $25,000; rent revenue, $60,000;
Answers (1)
California Fishing Company (CFC) is expected to pay a dividend next year of $50 per share. Future Dividends for CFC are expected to grow at a rate of 5% per year indefinitely.
Answers (1)
What was the name of the U. S. management consultant who invented a system of scientific management in which industrial processes were studied to break them down into precisely timed and organized simple operations
Answers (1)
New Questions in Business
Suppose that there are two industries, A and B. There are five firms in industry A with sales at $5 million, $2 million, $1 million, $1 million, and $1 million, respectively. There are four firms in industry B with equal sales of $2.
Answers (1)
Despite having the highest overall GDP, the US ranks fifth for productivity when considering the GDP per hour worked. What contributes to this discrepancy?
Answers (1)
Young raxxi invested in a back-loading mutual fund at a rate of 3%. the net asset value at the time of purchase was $18.48. at the time young sold his fund shares the net asset value was $18.25. his investment was $9,240.
Answers (1)
12. An industry is defined as: a. A collection of firms that compete with one another in a single product market. b. A collection of firms that exist in a particular geographical area (e. g. Spain). c.
Answers (1)
Why are only final goods and services included in the calculation of GDP?
Answers (1)
Home » Business » Explain why the lower of cost or market rule is used to value inventory.
Sign Up Forgot Password?