Waterway 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 Waterway, has gathered the following data concerning inventory. At May 31, 2020, the balance in Waterways Raw Materials Inventory account was $497,760, and Allowance to Reduce Inventory to NRV had a credit balance of $27,450. 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 Waterways May 31, 2020, financial statements for inventory under the LCNRV rule as applied to each item in inventory. Devereaux expressed concern over departing from the historical cost principle.

		Cost		Sales Price		Net Realizable Value
Aluminum siding		$85,400		$78,080		$68,320
Cedar shake siding		104,920		114,680		103,456
Louvered glass doors		136,640		227,408		205,326
Thermal windows		170,800		188,856		170,800
Total		$497,760		$609,024		$547,902

For the fiscal year ended May 31, 2020, determine the amount of the gain or loss that would be recorded (using the loss method) due to the change in Allowance to Reduce Inventory to NRV. (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

The amount of the gain (loss)

$

Waterway 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 Waterway, has gathered the following data concerning inventory. At May 31, 2020, the balance in Waterway's Raw Materials Inventory account was $497,760, and Allowance to Reduce Inventory to NRV had a credit balance of $27,450. 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 Waterway's May 31, 2020, financial statements for inventory under the LCNRV rule as applied to each item in inventory. Devereaux expressed concern over departing from the historical cost principle. Aluminum siding Cedar shake siding Louvered glass doors Thermal windows Cost $85,400 104,920 136,640 170,800 $497,760 Sales Price $78,080 114,680 227,408 188,856 $609,024 Net Realizable Value $68,320 103,456 205,326 170,800 $547,902 Total Your answer is incorrect. For the fiscal year ended May 31, 2020, determine the amount of the gain or loss that would be recorded (using the loss method) due to the change in Allowance to Reduce Inventory to NRV. (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) The amount of the gain (loss) e Textbook and Media Question Part Score 0/3