Which idea underlies writing inventories down to net realisable value?Your answerAInventories must be measured at fair value at each reporting date, upwards as well as downwards.BA write-down makes it possible to smooth profit from one year to the next by building a prudence reserve.CAn asset should not be carried above what its sale or use is expected to realise.DInventories must always be reduced to replacement cost when it is below historical cost.SubmitHint