The following information pertains to Hagen Metal Works ending inventory for the current year:

		Unit	Unit
Item	Quantity	Cost	Market Value
C	260	$ 13	$ 10
D	250	15	14
K	70	11	14
M	62	8	14

Required

a.

Determine the value of the ending inventory using the lower-of-cost-or-market rule applied to (1) each individual inventory item and (2) the inventory in aggregate.

	Ending Inventory
Individual item method
Aggregate method

b.

Prepare any necessary journal entries, assuming the decline in value is immaterial, using the (1) individual method and (2) aggregate method. Hagen Metal Works uses the perpetual inventory system. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Event 1: record entry for cost of goods sold using individual item methods

Event 2: record the entry for cost of goods sold using aggregate method.