9/23pt2

E7-14 REPORTING INVENTORY AT LOWER OF COST OR MARKET/NET REALIZABLE VAI LO74 Sandals Company is preparing the annual financial statements dated December 31. Ending inventory is presently recorded at its total cost of $5,465. Information about its inventory items follows: Required: 1. Compute the LCM/NRV write-down per unit and in total for each item in the table. Also compute the total overall write-down for all items. 2. How will the write-down of inventory to lower of cost or marketet realizable value affect the company's expenses reported for the year ended December 31 ? 3. Compute the amount that should be reported for the inventory on December 31, after the LCM/NRV rule ha: been applied to each item