In applying the lower of cost or market method to LIFO inventory valuation,market is defined as:

A) Historical cost.
B) Current replacement cost.
C) Current sales price.
D) FIFO.
E) LIFO.

Lower Of Cost

An accounting principle that values inventory at the lower of its historical cost or market value.

LIFO Inventory

Last-In, First-Out inventory method, where the most recently produced items are recorded as sold first.

Current Replacement Cost

The cost that would be incurred to replace an asset at the present time, considering the asset's current condition.