Multiple Choice Option 1 Option 2 Option 3 Option 4

On April 1, a company purchased two units of inventory, A and B. The cost of unit A was $630, and the cost of unit B was $555. On April 30, the company had not sold the inventory. The net realizable value of unit A was now $640 while the net realizable value of unit B was $475. The adjusting entry associated with the lower of cost and net realizable value on April 30 will be: Event 1. 2. 3. 4. Account Title Cost of Goods Sold Inventory Inventory Cost of Goods Sold Cost of Goods Sold Inventory Inventory Cost of Goods Sold Debit Credit 70 70 70 70 80 80 80 80 Multiple Choice O O O O Option 1 Option 2 Option 3 Option 4