alleryStart learning →Closing stock in the balance sheet is valued at
Ahigher of cost or market value
Blower of cost or net realisable value
Cthe expected selling price
Daverage of cost and sale price
Answer & Solution
Correct answer: B. lower of cost or net realisable value
Inventory is carried at the lower of cost and net realisable value so that losses are not overstated as assets.
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