The cost of Garmin Corp.'s inventory at the end of the year was $85,000; however, due to obsolescence, the cost to replace the inventory was only $65,000. Identify the effects of this transaction on the accounting equation and income statement accounts at the end of the year.

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The Answer of The cost of Garmin Corp.'s inventory at the end of the year was $85,000; however, due to obsolescence, the cost to replace the inventory was only $65,000. Identify the effects of this transaction on the accounting equation and income statement accounts at the end of the year.

The Cost of Garmin Corp