Problem 9-3 (Algo) Lower of cost or market; by product and by total inventory (LO9-1] RE Forester Company has five products in its inventory. Information about the December 31, 2021, inventory follows. Product Unit Selling Price $19 B C D E Quantity 809 600 500 900 600 Unit Replacement Cost $15 14 5 7 15 Unit Cost $ 13 18 6 10 17 21 11 9 16 The cost to sell for each product consists of a 20 percent sales commission. The normal profit for each product is 30 percent of the selling price. Required: 1. Determine the carrying value of inventory at December 31, 2021, assuming the lower of cost or market (LCM) rule is applied to individual products. 2. Determine the carrying value of inventory at December 31, 2021, assuming the LCM rule is applied to the entire inventory. 3. Assuming inventory write-downs are common for Forester, record any necessary year-end adjusting entry based on the amount calculated in requirement 2. Required 1 Required 2 Required 3 Determine the carrying value of inventory at December 31, 2021, assuming the lower of cost or market (LCM) rule is applied to individual products. (Do not round intermediate calculations.) RC NRV NRV-NP Market Cost $ 19 X $ 4 x $ 10,400 Product (units) A (800) B (600) C (500) D (900) E (600) 15 x $ 17 X 21 x 4 x 10,800 15 x $ 14 5 X 7 15 X oooo Inventory carrying value $ 12,160 10,080 x 4,400 X 6,480 7,680 $ 40,800 11 x 3,000 2 x 2 x 3 x 9 X 7 X 9 X 16 X 13 X 9,000 10,200 43,400 Total 61 Required 1 Required 2 Required 3 Determine the carrying value of inventory at December 31, 2021, assuming the LCM rule is applied to the entire inventory. (Do not round intermediate calculations.) Inventory carrying value s 40,800 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Assuming inventory write-downs are common for Forester, record any necessary year-end adjusting entry based on the amount calculated in requirement 2. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Transaction General Journal Debit Credit 1 1 2,600 X Cost of goods sold Inventory 2,600 X