How Should a Not-For-Profit Organization Value Inventories Which Are Held

How should a not-for-profit organization value inventories which are held for distribution at no charge or for a nominal charge or for consumption in the production process of goods which will be distributed at no charge or for a nominal charge?

A) At cost.
B) At fair value.
C) At the lower of cost and net realizable value.
D) At the lower of cost and current replacement cost.