12f

In the annuat audit of Webber Ine at December 31, 2022, you find the following trarsactions meter thut ciosinis date Acuammise that each of the amounts is material, state whether the merchandise should be included in the elient's lnwentory 1. A special machine fabricated to order for a customer, was finished and specifically segregated in the back part of the shipping room on December 31,2022. The customer was billed on that date and the machine excluded from imventory although it was shipped on January 4,2023 2. Merchandise costing $2,800 was received on January 3,2023 , and the related purchase imvoice recorded January 5. The imvoice showed the shipment was made on December 29, 2022. FOB destination. 3. A packing case, containing a product costirag 33,400 , was in the shipping room when the pirysicat imventory was taken. It was not included in the inventory becausle it was marked Hold for shioping instructions." Your investigation revealed that the customer's order was dated December 18,2022 but that the case was shipped and the customer billed on Jamuary 10,2023 . The product was a stock item of your client. 4. Merchandise costing $720 was received on December 28, 2022, and the invoice was not recorded You located it in the hands of the purchasing agent; it was marked "on consignment." 5. Merchandise received on January 6, 2023, costing $680 was entered in the purchase journal on January 7, 2023. The invoice showed the shipment was made FOB supplier's warehouse on December 31,2022. Because it was not on hand at December 31 , it was not included in inventory