[The following information applies to the questions displayed below.]

Home Furnishings reports inventory using the lower of cost and net realizable value (NRV). Below is information related to its year-end inventory.

Inventory	Quantity	Unit Cost			Unit NRV
Furniture	230	$	88		$	103
Electronics	53		430			315

3. Record any necessary adjustment to inventory. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)