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Inventory Item A has a cost of $2,000. The replacement cost is $1,800. The item can be sold for $2,500 to a customer, and the

Inventory Item A has a cost of $2,000. The replacement cost is $1,800. The item can be sold for $2,500 to a customer, and the normal profit margin is $1,000. Using the lower-of-cost-or-market rule, at what amount should this item be reported in the inventory of the balance sheet?

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