Lower of Cost or Net Realizable Value. The accountant for Murphy Company prepared the following analysis of its inventory at year end: Item Units Cost per Unit RSK-89013 540 $38 LKW-91247 QEC-57429 329 49 462 25 Net Realizable Value $44 45 33 Required: 1. Compute the carrying value of the 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. Cost of Goods Sold Coventory $88