Wildhorse Co. took a physical inventory on December 31 and determined that goods costing $198,500 were...

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Wildhorse Co. took a physical inventory on December 31 and determined that goods costing $198,500 were on hand. Not included in the physical count were $25,000 of goods purchased from Waterway Industries, FOB, shipping point, and $26,000 of goods sold to Oriole Company for $30,000, FOB destination. Both the Waterway purchase and the Oriole sale were in transit at year-end. What amount should Wildhorse report as its December 31 inventory? Ending Inventory A Wildhorse Co. took a physical inventory on December 31 and determined that goods costing $198,500 were on hand. Not included in the physical count were $25,000 of goods purchased from Waterway Industries, FOB, shipping point, and $26,000 of goods sold to Oriole Company for $30,000, FOB destination. Both the Waterway purchase and the Oriole sale were in transit at year-end. What amount should Wildhorse report as its December 31 inventory? Ending Inventory A

Answer rating: 100% (QA)

To determine the correct ending inventory amount for Wildhorse Co as of December 31 we need to accou... View the full answer