Rumore Company values its inventory, shown below, at the lower of cost or market. Compute Rumore's inventory value using (1) the item-by-item method and (2) the major category method.

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Category I Item aa Item bb Quantity Per Unit Cost Market 200 $ 2.00 $ 1.80 240 4.00 4.40 Item cc 400 8.00 7.50 Category II Item dd 300 12.00 13.00 Item ee 400 18.00 18.20