Gresa Company just took its physical inventory. The count of inventory items on hand at the companys business locations resulted
1. Gresa has sent inventory costing $26,000 on consignment to Alissa Company. All of this inventory was at Alissa’s showrooms on December 31.
2. The company did not include in the count inventory (cost, $20,000) that was sold on December 28, terms FOB shipping point. The goods were in transit on December 31.
3. The company did not include in the count inventory (cost, $14,000) that was purchased with terms of FOB shipping point. The goods were in transit on December 31.
Compute the correct December 31 inventory.
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Step by Step Answer:
Chapter # 6- Inventories
Section: DO IT! Exercises
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Question Posted: March 02, 2015 09:35:58