Gotham Company reported an ending inventory balance as of December 31 of $413,000. The following additional information
Question:
Gotham Company reported an ending inventory balance as of December 31 of $413,000. The following additional information is also available:
• | The ending inventory balance of $413,000 included $72,200 of consigned inventory of which Gotham was the consignor. |
• | The ending inventory balance of $413,000 included $22,400 of office supplies that were stored in the warehouse and would be used by the company's supervisors and managers over the next year. |
• | The ending inventory balance of $413,000 did not include goods with a cost of $48,200 that were purchased by Gotham on December 28 and shipped FOB on that date. Gotham did not receive the merchandise until January 2 of the following year. |
• | The ending inventory balance of $413,000 included damaged property at its original cost of $38,400. The net realizable value of the damaged property was $10,200. |
• | The ending inventory balance of $413,000 included $43,200 of consigned inventory for which Gotham was the consignee. |
Based on this information, the correct balance for ending inventory as of December 31 is:? |
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill