I need an explanation just with how to fill the schedule M-1 and M-2 and Form 1125-A of the following case study.

The company took a physical count of its inventory on the last day of the year.On that date, it was determined that ending inventory was $360,000.This is not reflected in the financial statements below. Inventories are determined using the lower of cost or market method.

However, in its books inventories are reported as follows:

AssetsJan. 1, 2017Dec. 31, 2017

Inventories375,000375,000

Therefore, how can I report it on Form 1125-A in a Corporate Tax Return?