Assume after your adjustment (in above problem #14) the expected selling price ofinventory increases to $9,500.(All other facts remain the same.)What adjustment to inventory should be made under IAS 2?

a.Inventory should be increased (debited) by $1,000.

b.Inventory should be increased (debited) by $1,500.

c.No adjustment should be made to inventory once it is written down.

d.Inventory should be increased (debited) by $1,000.

e.None of the above.

14b) Required:Journalize the write-down reversal (if a reversal is needed):

Account NameDebitCredit