GACG1035 Intermediate Accounting I Chapter 8 Assignment 7th edition The records of ABC Medical for 20X4 showed the following inventory data: Cost NRV Category 1 Item X Item Y Item z $20,000 80,000 50,000 $18,000 70,000 66,000 Category 2 Item U Item V Item W 36,000 40,000 84,000 33,000 8,000 84,000 Required: 1. Calculate the amounts of inventory at lower-of-cost-or-NRV (LCNRV) using each of the two methods. Include a sentence to indicate the amount for each method. 2. Give the entry to record the write-down to reduce the ending inventory to LCNRV assuming the application of LCNRV by category, and assuming the allowance method. The current balance in the allowance account is a debit balance of $4,000. 3. Assume that the inventory cost for 20X5 is $340,000, and the NRV is $360,000. What adjusting entry would be required to the Allowance account for 20X5