Peterson Company is preparing the annual financial statements dated December 31, 2017. Ending inventory information about the five major items stocked for regular sale follows: Ending Inventory Unit Cost When Acquired (FIFO) $16.90 31.90 46.90 26.90 11.90 Quantity on Hand 69 99 29 49 369 Net Realizable Value at Year-End $13.90 41.90 53.90 31.90 6.90 Item Required: 1. Compute the value of the 2017 ending inventory by using the LC&NRV rule applied on an item-by-item basis. (Do not round intermediate calculations and round the final answers to 2 decimal places.) LC&NRV Valuation Item Quantity Total Cost Total Market 69x A 99 X 29 x C 49 X D 369x E Total III III ABCDE 2. What will be the effect of the write-down of inventory to LC&NRV on cost of sales for the year 2017? (Round intermediate calculations and final answer to the nearest whole dollar.) Cost of sales will be by 3-a. Assume that 39 units of item E had not been sold by December 31, 2018, and that the net realizable value of that item increased to $9.40 per unit. Calculate the increase in book value. (Do not round intermediate calculations and round the final answer to 2 decimal places.) Increase in book value