***PLEASE SHOW ALL WORK/EXPLAIN IN DEPTH***; WILL BE USING THIS TO STUDY FOR AN EXAM.

2. Given the following information for the Tatnall Company: Date December 31, 2004 December 31, 2005 December 31, 2006 Cost $500 700 800 Market $500 650 730 Which journal entry on December 31, 2006 provides the correct adjustment to revalue inventory for financial reporting? Loss Due toMarket Valuation Allowance to Reduce Inventory to Market Income Summary Allowance to Reduce Inventory to Market Income Summary 20 730 70 800 20 730 70 800 b. Inventory Loss Due to Market Valuation d, Inventory