Sandals Company is preparing the annual financial statements dated December 31. Ending inventory is presently recorded at its total cost of $8,250. Information about its inventory items follows:

Product Line	Quantity on hand	Unit Cost When Acquired (FIFO)	Value at Year-end
Air Flow	10	$60	$64
Blister Buster	95	55	52
Coolnite	35	15	10
Dudesly	20	95	99

Required:

Compute the LCM/NRV write-down per unit and in total for each item in the table. Also compute the total overall write-down for all items.

How will the write-down of inventory to lower of cost or market/net realizable value affect the companys expenses reported for the year ended December 31?

Compute the amount that should be reported for the inventory on December 31, after the LCM/NRV rule has been applied to each item.