Use the Following Information for Questions

Multiple Choice

Use the following information for questions

-Peak's 2010 entry to record to adjust its inventory from cost to the lower of cost and net realizable value (NRV) is

A) Debit: "Loss-NRV" and credit: "Allowance-NRV" $50,000
B) Debit: "Allowance-NRV" and credit: "Loss-NRV" $50,000
C) Debit: "Loss-NRV" and credit: "Inventory" $50,000
D) Debit: "Inventory" and credit: "Loss-NRV" $50,000