The following are the inventories for the years 2019, 2020, and 2021 for Parry Company: Cost NRV January 1, 2019 $50,000 $50,000 December 31, 2019 64,000 60,000 December 31, 2020 71,000 70,000 December 31, 2021 75,000 78,000 Required: 1. Assume the inventory that existed at the end of each year was sold in the subsequent year. Prepare journal entries to record the lower of cost or net realizable value for each of the following alternatives: a. allowance method, perpetual inventory system b. direct method, perpetual inventory system 2. Next Level Explain any differences in inventory valuation and income between the two methods.