Journalize inventory at the lower of cost or market. {Obj. 7). At the end of the current fiscal year, the Raw Materials account for the Martinez Manufacturing Company has a balance of $296,369. The company has been using the lower of cost or market method for several years. The Allowance for Reduction of Inventory to Market Value account has a balance of $8,930. The market value of the raw materials at the end of the year is $291,250. Record the adjusting entry needed to value the raw materials at the lower of cost or market.

 LO.1