Natural Foods reports merchandise inventory at the lower-of-cost-or-market. Prior to releasing its financial statements for the year ended January 31, 2025, Natural's preliminary income statement, before the year-end adjustments, appears as follows: B (Click the icon to view the preliminary income statement.) Natural has determined that the current replacement cost of ending merchandise inventory is $17,000. Cost is $18,000. Read the requirements Requirement 1. Journalize the adjusting entry for merchandise inventory, if any required. (Record debits first, then credits. Select the explanation on the last line of the journal entry. For situations that do not require an entry, make sure to select "No entry required" in the first cell in the "Accounts" column and leave all other cells blank.) Date Accounts and Explanation Debit Credit Jan. 31 i Data Table Natural Foods Income Statement (Partial) Year Ended January 31, 2025 Net Sales Revenue $ 120,000 Cost of Goods Sold 44,000 S 76,000 Gross Profit Print Done