Lower of Cost or Net Realizable Value

Han's has the following data for the items in its inventory at the end of the accounting period:

Item	Number of Units		Historical Cost per Unit		Selling Price per Unit		Disposal Costs
Window air conditioner	36		$194		$110		$49
Dishwasher	34		270		380		22
Refrigerator	36		382		605		25
Microwave	19		225		180		15
Washer (clothing)	36		180		290		40
Dryer (clothing)	22		168		245		50

Required:

1. Compute the carrying value of Han Sales and Services ending inventory using the lower of cost or net realizable value rule applied on an item-by-item basis. $_____________

2. Prepare the journal entry required to value the inventory at lower of cost or net realizable value. If an amount box does not require an entry, leave it blank.