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Management Sciences
MEDIUM
ENGLISH
Management Sciences
Recent developments have made much of a company‘s inventory obsolete. This obsolete inventory should be?
Written down to zero or its scrap value
Correct answer
B
Shown in the Balance Sheet at its replacement cost
Option B
C
Shown in the Balance Sheet at cost, but classified as a non-current asset
Option C
D
Carried in the accounting records at cost until it is sold
Option D
Correct answer: A
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