Adjusting Inventory Records for Physical Counts Cleopatra, Inc., which uses the perpetual inventory method, recently had an agency count its inventory of frozen burritos. The agency left the following inventory sheet:

Complete the inventory calculations for Cleopatra (items a–d) and provide the journal entry necessary to adjust ending inventory, if necessary. The balance in Inventory before the physical count was $321.10.

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Type of Merchandise Date Quantity Unit Inventory Purchased on Hand Cost Amount Chicken Burrito 2/12/09 50 Beef Burrito 2/18/09 19 Bean Burrito 2/08/09 Veggie Burrito 2/15/09 43 8404 $2.50 (a) (b) $60.80 (c) $2.10 $65.10 (d) $81.70