Lower Cost or Market is a method to value inventory, when for the reporting purposes the value which is lower of cost and market value is reported as inventory value.
The purpose of this method is to conservatively reflect fair value of inventory.
Want more? Explore comprehensive Exclusive Members Area AccountingCoachPro.
This Package includes
Accounting Dictionary with over 1,000 accounting terms defined. Each accounting term is explained in plain English to ensure easy comprehension.