The current replacement cost of the ending inventory is $3,600. To apply the lower of cost or market rule, the journal entry would be

A) debit inventory $1200, credit cost of goods sold $1200 B) debit inventory $1950, credit cost of goods sold $1950 C) debit cost of goods sold $1950, credit inventory $1950 D) debit cost of goods sold $1200, credit inventory $1200

Cypress Co. has the following LIFO perpetual inventory records: Date December 1 December7 December 18 December 31 Purchases $1,500 $1,200 Cost of Goods Sold Inventory on Hand $4,050 $5,550 $4,350 $5,550 $1,200