Under the retail inventory method

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Reference no: EM131294997

Under the retail inventory method:

A. A company measures inventory on its balance sheet by converting retail prices to cost.

B. A company measures inventory on its balance sheet at current selling prices.

C. A company measures inventory on its balance sheet on a LIFO basis.

D. None of the above is correct.

2. Lou Lewis borrows $10,000 to be repaid over 10 years at 9%. Repayment of principal in the first year is ______. (HINT: Use PMT function in excel and subtract 1st year interest to find principal paid in first year)

a. $742

b. $1,558

c. $658

d. $885

Reference no: EM131294997

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