Question: assume a company paid 800 for a computer that it...
Assume a company paid $800 for a computer that it plans to sell to its customers. Suppose that because of new technology the company could buy the same computer today for $600. How would the lower-of-cost of market rule affect the financial statements?
Decrease net income on the income statement
Decrease common stock reported on the balance sheet
Increase liabilities on the balance sheet
Increase stockholders’ equity on the balance sheet