Surgical Equipment Selling price Cost $ 330 9) Data related to the inventories of Kimzey Medical Supply are presented below: Rehab Supplies $ 235 Surgical Supplies $ 190 Rehab Equipment $ 410 240 160 320 232 Replacement cost 310 58 40 % Costs to sell Normal gross profit ratio In applying the lower of cost or market rule, the inventory of rehab equipment would be valued a 150 305 228 19 51 38 40% 40 % 40 % A) $305. B) $359. C) $150. D) $405.