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For the current year, Hodges Department Store reported the following data:Goods available for sale$1,074,450December 31, inventory balance$85,430The current replacement cost of inventory on balance sheet data is $91,730.Using the lower-of-cost-or-market rule, what is cost of goods sold for HodgesDepartment Store?$982,720 $897,290 impossible to determine from the given data $989,020 Correct!Correct!1 / 1 ptsQuestion 6If a company is using a periodic inventory system, the balance in its inventoryaccount three-quarters of the way through an accounting period would be equal to the_______.Correct!
1 / 1 ptsQuestion 7Inventory at the end of the current year is overstated by $20,000. What effectwill this error have on the following year's net income?Correct!Correct!1 / 1 ptsQuestion 8If ending inventory for the current period is understated, then owner’s equitywill be_______.