An entity has the following items of inventory.

a$)$ Raw materials costing $$12,000$ bought for processing and assembly for a profitable special order. Since buying these items, the cost price of the raw materials has fallen to $$10,000.$

b$)$Equipment constructed for a customer for an agreed price of $$18,000.$ This has recently been completed at a cost of $$16,800.$ It has now been discovered that, in order to meet certain regulations, conversion with an extra cost of $$4,200$ will be required. The customer has accepted partial responsibility and agreed to meet half the extra cost.

Required:

In accordance with IAS $2$ Inventories, at what amount should the above items be valued?