Paul Konerko Company Sells Product 2005WSC for $20 Per Unit

Multiple Choice

Paul Konerko Company sells product 2005WSC for $20 per unit.The cost of one unit of 2005WSC is $18, and the replacement cost is $17.The estimated cost to dispose of a unit is $4, and the normal profit is 40%.At what amount per unit should product 2005WSC be reported, applying lower-of-cost-or-market?

A) $8.
B) $16.
C) $17.
D) $18.