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Some of Anna's Inventory at the Year End Had Been

Question 4

Multiple Choice

Some of Anna's Inventory at the year end had been damaged. This inventory cost £590, however, due to the damage would require a further £100 to be spent on them to make them saleable. In addition, Anna thinks she will have to incur £100 advertising the goods. She predicts that they could then be sold for £900.
What value should the inventory be included in the accounts at?


A) £390
B) £590
C) £700
D) £800

Correct Answer:

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