(a1) Determine the proper balance in Allowance to Reduce Inventory to Market at May 31, 2020. Balance in the Allowance to Reduce Inventory to Market $ (a2) For the fiscal year ended May 31, 2020, determine the amount of the gain or loss that would be recorded due to the change in Allowance to Reduce Inventory to Market. The amount of the gain (loss) $ e Textbook and Media Save for Later Attempts: 4 of 5 used Submit Answer View Policies Show Attempt History Current Attempt in Progress Whispering Home Improvement Company installs replacement siding, windows, and louvered glass doors for single-family homes and condominium complexes. The company is in the process of preparing its annual financial statements for the fiscal year ended May 31, 2020. Jim Alcide, controller for Whispering, has gathered the following data concerning inventory. At May 31, 2020, the balance in Whispering's Raw Materials Inventory account was $428,400, and Allowance to Reduce Inventory to Market had a credit balance of $26,750. Alcide summarized the relevant inventory cost and market data at May 31, 2020, in the schedule below. Alcide assigned Patricia Devereaux, an intern from a local college, the task of calculating the amount that should appear on Whispering's May 31, 2020, financial statements for inventory at lower-of-cost-or-market as applied to each item in inventory. Devereaux expressed concern over departing from the historical cost principle. Assume Garcia uses LIFO inventory costing. Replacement Cost Net Realizable Value Normal Profit Cost Sales Price Aluminum siding $73,500 $65,625 $67,200 $58,800 $5,355 Cedar shake siding 90,300 83,370 98,700 89,040 7,770 Louvered glass doors 117,600 130,200 195,720 176,715 19,425 Thermal windows 147.000 132.300 162,540 147,000 16,170 Total $428,400 $411,495 $524,160 $471,555 $48,720