Inventory on the Balance Sheet On the basis of the following data, determine the value of the inventory at the lower of cost or market. Apply lower of cost or market to each inventory item, as shown in Exhibit 8. Assuming that the cost was determined by the FIFO method, show how Inventory would appear on the balance sheet. The inventory would appear in the section of the balance sheet as follows: Inventory at lower of cost (FIFO) or market $x