Problem 1 At 12/31/20, the end of Jenner Company's first year of business, inventory was $6,100 and $5,100 at cost and at market, respectively. Following is data relative to the 12/31/21 inventory of Jenner: Original Cost Replacement Item Per Unit Cost $.65 $.45 B .45 .40 .70 175 D .75 .65 E .90 .85 Selling price is $1.00/unit for all items. Disposal costs amount to 10% of selling price and a "normal" profit is 30% of selling price. There are 1,500 units of each item in the 12/31/21 inventory Instructions (a) Prepare the entry at 12/31/20 necessary to implement the lower-of-cost-or-market procedure assuming Jenner uses the loss method. (b) Determine the lower-of-cost-or-market value of inventory. (c) Prepare the entry necessary at 12/31/21 based on the data above assuming Jenner uses the loss method