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Question - Given the historical cost of product Dominoe is $17, the selling price of product Dominoe is $20, costs to sell product Dominoe are $4, the replacement cost for product Dominoe is $23, and the normal profit margin is 20% of sales price, what is the cost amount that should be used in the lower-of-cost-or-market comparison?
$23.
$17.
$16.
$12.
What journal entry should be made at the beginning of the fiscal year to reestablish the Encumbrances account of a capital projects fund for a multi-year capital project?
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