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please help me i dont understand. the questions are trickey with wording A company has four types of products in its inventory. The company applies
please help me i dont understand. the questions are trickey with wording
A company has four types of products in its inventory. The company applies the rules under lower of cost and net realizable value to its inventory at the end of each year as shown below: The year-end adjustment based upon the information above would include a: Debit to Cost of Goods Sold $50. Credit to Inventory $50 Debit to Inventory $65 Debit to Cost of Goods Sold $65. None of the above. On January 1, 2015, Rex Corporation purchased 30,000 shares ( 30% of the outstanding stock) of Alamo Corporation for $500,000. Net income reported by Alamo for 2015 was $180,000. Dividends paid by Alamo during 2015 were $60,000. On December 31, 2015 the Alamo Corporation stock was trading at $15 per share. The amount of investment revenue that Rex should recognize for 2015 is: $18,000 $36,000 $54,000 $60.000 $15,000 Step by Step Solution
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