c. Company C purchases goods billed at $15,000 from Company B during 2015. Company B bills Company C at a 20% gross profit. At year-end, $7,500 of the goods remains unsold. The goods are inventoried...

c. Company C purchases goods billed at $15,000 from Company B during 2015. Company B bills Company C at a 20% gross profit. At year-end, $7,500 of the goods remains unsold. The goods are inventoried at $5,000, under the lower-of-cost-or-market procedure.