Costs included in the Merchandise Inventory account can include all of the following except:
A) Invoice price minus any discount.
B) Transportation-in.
C) Storage.
D) Insurance.
E) Damaged inventory that cannot be sold.

Question

Quizplus · Accepted Answer

Damaged inventory that cannot be sold would not be included in Merchandise Inventory account, as it would not be considered as part of the inventory that is available for sale.

Costs Included in the Merchandise Inventory Account Can Include All