When the value of inventory falls below its cost, companies other than those that use LIFO have the option of recording the inventory at cost or the lower net realizable value. True False 25 135 When the net realizable value of inventory falls below its cost, no adjustment to the accounting records is needed True False 016 18 The adjustment to write down inventory from cost to its lower net realizable value includes a debit to Cost of Goods Sold and a credit to Inventory. True False