IV. Howe is a distributor of tomatoes who uses FIFO and has the following information at December 31, 2023: Inventory at cost Inventory in transit shipped FOB destination from a vendor $2,000,0001,200,000 The expected selling price of the tomatoes is 98% of its cost. The cost of selling and delivering to customers is 3% of the selling price. Instruction Determine the appropriate valuation of ending inventory at December 31, 2023