$$ Inventory on Hand: $1,000$ units

$$ Historical Cost per Unit: $$50$

$$ Replacement Cost per Unit: $$45$

$$ Net Realizable Value per Unit: $$48$

$$ Normal Selling Price per Unit: $$52$

$$ Estimated Selling Costs per Unit: $$5$

Question:

Using the conservatism principle, calculate the value at which the inventory should be reported on the balance sheet