28. Under the lower of cost or market (LCM) approach, market should not be greater than: A. Net realizable value. B. Replacement cost. C. Net realizable value less normal profit margin. D. None of the above 29. COBA Inc. has one product in its ending inventory. Specific per unit data at the end of the year is Cost $90 85 Replacement cost Selling price Selling cost Normal profit margin 45 30 What unit value should COBA use when applying the lower of cost or market (LCM) rule to ending inventory? A. $120 B. $90 C. $85 D, $75 E. $45 30. Magoffin Ltd. purchased land for $175,000. In addition to the purchase price, Magoffin made the following expenditures: $7,500 for real estate commissions; $18,750 to demolish an old building already on the land; $10,000 to put in a new parking lot; $2,500 to install a sprinkler system on the property. How much should Magoffin capitalize as the value of the land on its balance sheet? A. $211,250. B. $175,000. C. $182,500. D. $213,750. E. $201,250. 31. Which of the following should not be included in a company's ending inventory balance? A. Merchandise held on consignment for another company. B. Purchases in transit fo.b. shipping point. C. Sales in transit sold fo.b. destination. D. None of these answer choices is correct