Tatum Company has four products in its inventory. Information about the December 31, 2021, inventory is as follows:

Required:1. Determine the carrying value of inventory at December 31, 2021, assuming the lower of cost or net realizable value (LCNRV) rule is applied to individual products.2. Assuming that inventory write-downs are common for Tatum Company, record any necessary year-end adjusting entry.

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Total Net Product Total Cost Realizable Value $120,000 $100,000 101 102 103 104 90,000 110,000 60,000 50,000 30,000 50,000