the answer is A, please show work

24. Information pertaining to the inventory of Paddington Company follows. LIFO Cost Selling Price Replacement Cost $3,500 4,500 11,000 $4,000 4,500 11,000 $3,000 4,800 10,500 Category: Supreme .Item A .Item B .Item C Category: Classic .Item X .Item Y .Item Z 18,000 22,000 35,000 18,000 26,500 30,000 19,000 26,000 33,000 The company has a normal profit margin of 20% of selling price and has no additional costs to complete or sell the items. What is the lower-of-cost-or-market value of Paddington's December 31, 2020, inventory applying the rule to (a) each individual item and (b) to each inventory category? Inventory Item a. $88,200 b. $89,700 c. $92,000 d. $94,000 Inventory Category $92,200 $94,000 $92,000 $94,000