One of the following is correct when a company decides to reverse a previous write-down amount of inventory. a. the reversal amount should not exceed the written-down amount that recognized last time. b. the reversal amount should equal the lower of cost and old net realizable value.
c. all choices are correct. d. the reversal amount should be equal the new net realizable value. e.the reversal amount should not exceed the cost price.

Q&A Education