a. ABC Corp. follows the direct write down method of writing down inventory value. At 12/31/19, its inventory is valued at $500,000 prior to adjustment. Its Net Realizable value is estimated to be $450,000. Write the adjusting journal entry. Include a brief explanation.

b. ABC is considering switching to the allowance method of writing down inventory value. Based on the facts above, write the journal entry for the write down. Include a brief explanation