34 2.5 points J Company's inventory under an LCM approach at 12/31/20 is $2500, and at cost the inventory was valued under FIFO at $2750. The allowance for decline in Inventory has a normal balance at 12/31/19 of $500. Credit sales tend to default at a rate of 2%. The entry J company must make at 12/31/20 related to this situation above includes: A credit to Allowance for Decline in Inventory - $250 A debit to Loss on Decline in Inventory Value for $250 No entrry A debit to Allowance for Decline In Inventory - $250