Sandals Company is preparing the annual financial statements dated December 31. Ending inventory is presently recorded at its total cost of $10,250. Information about its inventory items follows:

AND the Written Inventory:

Quantity on Hand Unit Cost When Acquired (FIFO) $90 Value at Year-End $92 25 Product Line Air Flow Blister Buster Coolonite Dudesly 76 70 Product Line Quantity on Write-down Hand per item Total Write- down Air Flow Blister Buster Coolonite Dudesly Total How will the write-down of inventory to lower of cost or marketet realizable value affect the company's expenses reported for the year ended December 31? Cost of goods sold will be