misty, inc. had 22,000 units of ending inventory that were recorded at the cost of $ 6.00 per unit using the fifo method. the current replacement cost is $ 4.25 per unit. what amounts would be reported as ending merchandise inventory on the balance sheet using the lower-of-cost-or-market rule?

Inventory 93,500

Explanation:

lower-of-cost-or-market rule

The accounting will valuate the invnetory comparing their original cost with the current reposition cost, which is the marketvalue.

It is comparing "How much was?"  with "How much is?"

And picking the lower amount, this means, if the price increase, it doesn't recognize any gain , because it will pick the lower.

and when the price decrease it will reocgnize the loss, because market price is lower than original cost.

6 < 4.25  we pick the market price

4.25 x 22,000 = 93,500

it's actually a very difficult task, due to not many people can make 2 million dollars in 2 years. besides that, to the not-so-realistic ideas, you can create a business. it could be practically anything, but make it into a business that isn't that known yet, you get me? also, lets not forget about stock market. that's where all the good stuff happens. use investments at the beginning and begin to raise up your business or whatever you're going to do. as this is a very non-realistic idea, it's still worth the shot!

answer(b) equal; set period;