A company like Golf USA that sells golf-related inventory typically will have inventory items such as golf clothing and golf equipment. As technology advances the design and performance of the next generation of drivers, the older models become less marketable and therefore decline in value. Suppose that in the current year, Ping (a manufacturer of golf clubs) introduces the MegaDriver II, the new and improved version of the MegaDriver. Below are year-end amounts related to Golf USAs inventory.

Inventory	Quantity	Unit Cost	Unit NRV
Shirts	37	$60	$72
MegaDriver	17	380	310
MegaDriver II	32	400	440

3. Record any necessary adjusting entry to inventory