Writing inventory down to net realizable value

Transaction

At year end a store still holds 60 units of a discontinued product, bought at $85.00 each. They can now be sold for only $70.00 each, and selling them will cost $5.00 per unit. Record the write-down of these goods.

Assumptions: Perpetual inventory: each sale also records its cost of goods sold. Inventory is measured at the lower of cost and net realizable value, item by item. The write-down is credited directly to Inventory (no allowance account).