Excel please

Referring to the situation in P9-2 for Garcia Home Improvement Company, consider the following expanded data at May 31, 2017. Assume Garcia uses LIFO inventory costing, and that the Allowance to Reduce Inventory to NRV had a credit balance of $27,500 on May 31, 2017 before adjustment. Replacement Net Realizable Normal 6 Cost Cost Sales Price Value Profit 7 Aluminum siding s 70,000 62.500 5 64,000 $ 56,000 $ 5,100 8 Cedar shake siding 86,000 79,400 94,000 84,800 7,400 9 Louvered glass doors 112,000 124,000 186,400 168,300 18,500 10 Thermal windows 140,000 126,000 154 800 140.000 15,400 11 Total S408,000S 391 900S 499,200 $ 449,100 $ 46,400 12 13 Instructions (CMA adapted) 14 (a) () Determine the proper balance in Allowance to Reduce Inventory to Market at May 31, 2017 15 16 (2) For the fiscal year ended May 31, 2017. determine the amount of the gain or loss that would be 17 recorded due to the change in Allowance to Reduce Inventory to Market 18 19 (1) Calculation of the Allowance to Reduce Inventory to Market account at May 31, 2017: 20 NRV les normal profit 21 Inventory item Cost Replacement Cost NRV (Ceiling) Floor) LCM 22 Aluminum siding $ 70,000 $ 62 300 5 56.000 23 Cedar shake siding 86,000 79,400 84,800 24 Louvered glass doors 112,000 124,000 168,300 25 Thermal windows 140,000 126,000 140.000 26 Totals S408,000 S 391,900 $ 449.100 27 28 Calculation of Allowance balance at May 31, 2017: 29 30 31 32 33 (2) Calculation of loss to be recorded: 34 35 36 37 38 (b) Explain the rationale for the use of the lower-of-cost-or-market rule as it applies to inventories. 39 40 41 42 43 44 45 46 47 48 49 50 51