Garden Company uses the perpetual inventory system and its inventory consists of four products as at August $31,2022.$ Selected information is provided below.

Required

a$)$ Calculate the inventory value that should be reported on August $31,2022,$ using the LCNRV applied on an individual item basis.

Do not enter dollar signs or commas in the input boxes.

Product Number of Units Cost $($per unit$)$ NRV $($per unit$)$ LCNRV $($per unit$)$

$115$ $$85$ $$112$ $Answer

$85$

$225$ $$89$ $$78$ $Answer

$78$

$315$ $$70$ $$43$ $Answer

$43$

$45$ $$103$ $$175$ $Answer

$103$

Inventory Value Total $Answer

$5065$

$Answer

$5150$

LCNRV Inventory Value $=$$Answer

$4385$

b$)$ Using the results from part a$),$ prepare the journal entry to adjust inventory to LCNRV$.$

Date Account Title and Explanation Debit Credit

$2022$

Aug $31$ Answer

Cost of Goods Sold

Answer

Answer

Merchandise Inventory

Answer

Adjust inventory to LCNRV