homie

Thanks Andrew...I think I get it.

Basically, in determining mkt value, you do the following:

1) Calculate NRV
2) Calculate NRV - profit margin
3) Compare replacement cost to those two values. If it lies between the 2 values above, then that is the mkt value. If its higher than NRV, bring it down to NRV....if lower than NRV - margin, then bring it up to NRV - margin.
4) After figuring out market value, compare that to original cost, and take the lower of the 2.

That sound about right? Also, is the starting "replacement cost" always given, or do we have to calculate that?