Review the following data:

Which of the following depicts the proper account balance after the application of the lower-of-cost-and-netrealizable-value rule? 

a. Cost of goods sold will be \(\$ 36,400\).

b. Cost of goods sold will be \(\$ 37,000\).

c. Cost of goods sold will be \(\$ 37,400\).

d. Ending inventory will be \(\$ 24,000\).

Transcribed Image Text:

Ending inventory at cost Ending inventory at net realizable value Cost of goods sold (before consideration of the lower-of-cost-and-net-realizable-value rule) $24,000 23,600 37,000