Sam's Surplus Supply had the following inventory situations to consider at January 31, its year end: 1.

Question:

Sam's Surplus Supply had the following inventory situations to consider at January 31, its year end:
1. Goods held on consignment for Mail-Boxes Etc. since December 22.
2. Goods that are still in transit and were shipped to a customer, FOB destination, on January 28.
3. Goods that are still in transit and were purchased from a supplier, FOB destination, on January 25.
4. Goods that are still in transit and were purchased from a supplier, FOB shipping point, on January 29.
5. Freight costs due on goods in transit from item 4 above.
6. Freight costs due on goods in transit from item 2 above
Instructions
Which of the above items should Sam's Surplus Supply include in its inventory? Provide an explanation.