Garcia Home Improvement Company installs replacement siding, windows, and louvered glass doors for single-family homes and condominium complexes. The company is in the process of preparing its annual financial statements for the fiscal year ended May 31, 2025. Jim Alcide, controller for Garcia, has gathered the following data concerning inventory. At May 31, 2025, the balance in Garcias Raw Materials Inventory account was $408,000. Alcide summarized the relevant inventory cost and market data at May 31, 2025, in the schedule below. Alcide assigned Patricia Devereaux, an intern from a local college, the task of calculating the amount that should appear on Garcias May 31, 2025, financial statements for inventory under the LCNRV rule as applied to each item in inventory. Devereaux expressed concern over departing from the historical cost principle. Replacement Cost Net Realizable Value Normal Profit For the fiscal year ended May 31, 2025, prepare the entry to record the decline in inventory to market, if any. Explain the rationale for the use of the lower-of-cost-or-market rule as it applies to inventories. NOTE: Enter a formula, a cell reference, or a value (if you are unable to reference a cell), into the yellow shaded input cells. Replacement Cost NRV less normal profit (Floor) Louvered glass doors Totals $ 408,000 $ 391,900 $ 449,100 2. Calculation of write-down b.