RINGIN Use the following information for problems #4950. On December 4, 20X8, DoCo enters into a contractual agreement to take delivery on January 25, 20X9 of 10,000 pounds of nuts at a cost of $2.20 per pound. On December 31, 20X8, DoCo finds that the market price of the nuts has declined to $1.90 per pound, and management decides that the decline is permanent. 49. DoCo should show these developments on its 20X8 financial statements as... a. a $22,000 liability b. a $19,000 liability c. a $3,000 liability d. no liability 50. When DoCo takes delivery on January 25, 20X9, the market price of nuts is $1.75 per pound. As a result, DoCo should ... a. debit Inventory $17,500 b. debit Inventory $22,000 c. debit Loss $4,500 d. debit Retained Earnings $3,000