Ram Lakhan Company Ltd. produces one unit of product B by using one unit of raw material A. During 2005–06 A costed the company ₹4,200. Conversion cost was ₹850. As on 31st March 2006, being the balance sheet date, the replacement cost of A is ₹4,000. Analyse what will be the value of raw material A as on 31st March 2006, if:
1. The NRV of B was ₹5,300.
2. The NRV of B was ₹4,800.