Forest Company has five products in its inventory. Information about ending inventory follows.

Product	Quantity	Unit Cost	Unit Replacement Cost	Unit Selling Price
A	900	$ 23	$ 25	$ 29
B	500	28	24	31
C	700	16	15	21
D	1,000	20	17	19
E	700	27	25	26

The cost to sell for each product consists of a 15 percent sales commission. The normal profit for each product is 35 percent of the selling price.

Required:

1. Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products.
2. Determine the carrying value of inventory, assuming the LCM rule is applied to the entire inventory.
3. Assuming inventory write-downs are common for Forest, record any necessary year-end adjusting entry based on the amount calculated in requirement 2.

Complete this question by entering your answers in the tabs below. Determine the carrying value of inventory, assuming the LCM rule is applied to the entire inventory. Note: Do not round intermediate calculations. Complete this question by entering your answers in the tabs below. Determine the carrying value of ending inventory, assuming the lower of cost or market (LCM) rule is applied to individual products. Note: Do not round intermediate calculations. Journal entry worksheet Record any necessary year-end adjusting entry assuming that inventory writedowns are common for Forest Company. Note: Enter debits before credits