Meredith Grey Co. began operations in 2020 and determined its inventory at cost and at LCNRV at December 31, 2020 and 2021. This information is presented below.

	Cost	Net Realizable Value
12/31/2020	$300,000	$280,000
12/31/2021	$400,000	$395,000

19. What entry will Meredith make on 12/31/2020, assuming inventory is recorded at LCNRV and a perpetual inventory system using the cost-of-goods sold method?

		Cost of Goods Sold 20,000 Allowance to Reduce Inventory to NRV 20,000
		Cost of Goods Sold 280,000 Allowance to Reduce Inventory to NRV 280,000
		Allowance to Reduce Inventory to NRV 20,000 Cost of Goods Sold 20,000
		Allowance to Reduce Inventory to NRV 280,000 Cost of Goods Sold 280,000