Lower of cost or NRV. By the end of the year the company had 200 units pf X-pro in its warehouse.

Units are so far reported at a total cost of $20000.

Recently fire broke out and damaged the outer casting of units. Engineers have confirmed that product can still get its full selling price if the outer cover is replaced. cutrently X-pro is selling for $220 per unit and cost of repair is estimated to be $110 per unit. Additionally the entity will have to pay $4000 in total the carriage cost to move repaired goods from workshop to warehouse.

Compute the value at which inventory should be reported in financial statements of LCNRV rule is followed?

what is the journal entry?