E$7-13($Algo$)$ Reporting Inventory at Lower of Cost or Market$/$Net Realizable Value $[$LO $7-4]$E$7-13($Algo$)$ Reporting Inventory at Lower of Cost or Market$/$Net Realizable Value $[$LO $7-4]$

Peterson Furniture Designs is preparing the annual financial statements dated December $31.$ Ending inventory information about the

five major items stocked for regular sale follows:

Required:

$1-$a$.$ Complete the table column "Write$-$Down per Item" and then sum the final column.

$1-$b$.$ Compute the amount of the total write$-$down when the LCM$/$NRV rule is applied to each item.

Prepare the journal entry Peterson Furniture Designs would record on December $31$ to write down its inventory to LCM$/$NRV$.$

Complete this question by entering your answers in the tabs below.

Req $1A$

Complete the table column "Write$-$Down per Item" and then sum the final column.

Peterson Furniture Designs is preparing the annual financial statements dated December $31.$ Ending inventory information about the five major items stocked for regular sale follows:

Required:

$1-$a$.$ Complete the table column $$Write$-$Down per Item$$ and then sum the final column.

$1-$b$.$ Compute the amount of the total write$-$down when the LCM$/$NRV rule is applied to each item.

$2.$ Prepare the journal entry Peterson Furniture Designs would record on December $31$ to write down its inventory to LCM$/$NRV$.$

Please complete all three steps, thank you!