2) Limberg Company sells TVs. The perpetual inventory was stated as $38,000 on the books at...

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2) Limberg Company sells TVs. The perpetual inventory was stated as $38,000 on the books at December 31, 2025. At the close of the year, a new approach for compiling inventory was used and a satisfactory cut-off for the preparation of financial statements was not made. Some events that occurred are as follows. 1. TVs shipped to a customer on January 2, 2026, costing $5,000 were included in inventory at December 31, 2025. The sale was recorded in 2026. 2. TVs costing $14,000 received December 30, 2025, were recorded as received on January 2, 2026. 3. TVs received during 2025 costing $4,700 were recorded twice in the inventory account. 4. TVs shipped to a customer December 28, 2025, f.o.b. shipping point, which cost $10,000, were not received by the customer until January 2026. The TVs were included in the ending inventory. 5. TVs on hand that cost $6,100 were never recorded on the books. Instructions Compute the correct inventory at December 31, 2025. $ 2) Limberg Company sells TVs. The perpetual inventory was stated as $38,000 on the books at December 31, 2025. At the close of the year, a new approach for compiling inventory was used and a satisfactory cut-off for the preparation of financial statements was not made. Some events that occurred are as follows. 1. TVs shipped to a customer on January 2, 2026, costing $5,000 were included in inventory at December 31, 2025. The sale was recorded in 2026. 2. TVs costing $14,000 received December 30, 2025, were recorded as received on January 2, 2026. 3. TVs received during 2025 costing $4,700 were recorded twice in the inventory account. 4. TVs shipped to a customer December 28, 2025, f.o.b. shipping point, which cost $10,000, were not received by the customer until January 2026. The TVs were included in the ending inventory. 5. TVs on hand that cost $6,100 were never recorded on the books. Instructions Compute the correct inventory at December 31, 2025. $

Answer rating: 100% (QA)

To compute the correct inventory at December 31 2025 we need to adjust the reported inventory amount ... View the full answer