E7-12 (Algo) Reporting Inventory at Lower of Cost or Net Realizable Value LO7-4 H.T. Tan Company is preparing the annual financial statements dated December 31 of the current year. Ending inventory information about the five major items stocked for regular sale follows: ENDING INVENTORY, CURRENT YEAR Unit Cost When Acquired (FIFO) Net Realizable Value (Market) at Year-End Item Quantity on Hand A 67 $ 18 $ 21 B 97 46 36 C 27 58 54 D 87 36 E 367 11 31 16 Required: Compute the valuation that should be used for the current year ending inventory using lower of cost or net realizable value applied on an item-by-item basis. Total Net Lower of Cost or NRV Item Quantity Total Cost Realizable Value A 67 B 97 27 D 87 E 367 Total