Floor

The lowest value that can be used when valuing inventory using the lower of cost or market method. The floor is the selling price minus the profit.

If Susan bought inventory for $4 and plans to sell it for $7, $4 is the lowest value that can be placed upon the inventory, $7 selling price -$3 profit.

https://accounting.uworld.com/cpa-review/lc/accounting-dictionary/term/floor/