Brooks Company carries three inventory items. The following information pertains to the ending inventory:

Item	Quantity	Unit Cost	Unit Market Value
A	120	$	60		$	55
F	170		80			75
K	110		30			40

Required

a.	Determine the ending inventory that Brooks will report on the balance sheet, assuming that it applies the lower-of-cost-or-market rule to individual inventory items.

1. Ending Inventory

b.	Prepare the necessary journal entry, assuming the decline in value was immaterial.(If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)