Tamarisk Home Improvement Company installs replacement siding, windows, and louvered glass doors for single$-$family homes and condominium complexes. The company is in the process of preparing its annual financial statements for the fiscal year ended May $31,2020.$ Jim Alcide, controller for Tamarisk, has gathered the following data concerning inventory.

At May $31,2020,$ the balance in Tamarisk$$s Raw Materials Inventory account was $$412,080,$ and Allowance to Reduce Inventory to Market had a credit balance of $$28,880.$ Alcide summarized the relevant inventory cost and market data at May $31,2020,$ in the schedule below.

Alcide assigned Patricia Devereaux, an intern from a local college, the task of calculating the amount that should appear on Tamarisk$$s May $31,2020,$ financial statements for inventory at lower$-$of$-$cost$-$or$-$market as applied to each item in inventory. Devereaux expressed concern over departing from the historical cost principle. Assume Garcia uses LIFO inventory costing.

Cost Replacement Cost Sales Price Net Realizable Value Normal Profit

Aluminum siding $$70,700$ $$63,125$ $$64,640$ $$56,560$ $$5,151$

Cedar shake siding $$86,860$ $$80,194$ $$94,940$ $$85,648$ $$7,474$

Louvered glass doors $$113,120$ $$125,250$ $$188,264$ $$169,983$ $$18,685$

Thermal windows $$141,400$ $$127,260$ $$156,348$ $$141,400$ $$15,554$

Total $$412,080$ $$395,819$ $$504,192$ $$453,591$ $$46,864$

$($a$1)$ Determine the proper balance in Allowance to Reduce Inventory to Market at May $31,2020.$

Balance in the Allowance to Reduce Inventory to Market $$\_\_\_\_\_\_\_\_$

$($a$2)$ For the fiscal year ended May $31,2020,$ determine the amount of the gain or loss that would be recorded due to the change in Allowance to Reduce Inventory to Market.

The amount of the gain $($loss$)$ $$\_\_\_\_\_\_\_\_$