Question: Instructions Dani Corporation signed a binding commitment on December 2 to purchase inventory for $250,000 cash on January 2. By December 31, the market

Instructions Dani Corporation signed a binding commitment on December 2 to purchase inventory for $250,000 cash on January 2. By December 31, the market

Instructions Dani Corporation signed a binding commitment on December 2 to purchase inventory for $250,000 cash on January 2. By December 31, the market price (replacement cost) of the inventory had declined to $225,000. Required: Prepare Dani's journal entries at year-end and at the date of purchase.

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