Sentences with lower of cost or market
low·er of cost or mar·ket
L l - When the value of the inventory has declined below its cost, a firm may choose the lower of cost or market method.If the cost of replacing inventory is lower than its recorded purchase cost, the lower-of-cost-or-market method is used to value the inventory.Lower of cost or market is a method of valuing assets where the asset is valued at either the historical cost or the fair market value, whichever is lower.