Question: under the LCM basis market is defined as current replacement cost or $16,000 ($80 x 200 widgets). Rickety Company purchased 1,000 widgets and has 200

under the LCM basis "market" is defined as current replacement cost

under the LCM basis "market" is defined as current replacement cost or $16,000 ($80 x 200 widgets). Rickety Company purchased 1,000 widgets and has 200 widgets in its ending inventory at a cost of $91 each and a current replacement cost of $80 each. The ending inventory under lower-of-cost-or-market is $18,200. $80,000 $91,000 $16,000

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