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16 Question 2 of 10 -/1 Current Attempt in Progress Gatineau Bank is considering giving Marigold Corporation a short-term bank loan. Before doing so, it

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16 Question 2 of 10 -/1 Current Attempt in Progress Gatineau Bank is considering giving Marigold Corporation a short-term bank loan. Before doing so, it decides that further discussions with Marigold's accountant may be desirable. One area of particular concern is the inventory account, which according to a recent physical inventory count has a balance of $274,000 at December 31. This count agreed with the accounting records. Discussions with the accountant reveal the following: 1. 2. 3. Marigold sold goods costing $32,900 to India-based Moghul Company, FOB destination, on December 28. Marigold does not expect the goods to arrive in India until January 12. The goods were not included in the physical inventory count, because they were not in the warehouse. The physical inventory count did not include goods costing $102,900 that a supplier shipped to Marigold, FOB shipping point, on December 27 and that were still in transit at year end. Marigoldreceived goods costing $29,600 on January 2. The goods were shipped FOB shipping point on December 26 by Cellar Corp. The goods were not included in the physical inventory count. Marigoldsold goods costing $53,100 to United Kingdom-based Sterling of Britain Ltd., FOB shipping point, on December 30. Sterling received the goods on January 8. They were not included in Marigold's physical inventory count On December 31, Schiller Corporation had $30,500 of goods held on consignment for Marigold. The goods were not included in the physical inventory count. Included in the physical inventory count were $15.800 of parts for outdated products that the company had not been able to sell. It is unlikely that these obsolete parts will have any other use. 4. 5. 6. ter 6 Question 2 of 10 -/1 E Determine the correct inventory amount on December 31. (Record the transactions in the order presented in the problem. If an amount reduces the account balance then enter with negative sign preceding the number eg.-45 or parentheses es. (45). If the transaction has "NO EFFECT ON INVENTORY", enter for the amount.) Ending inventory physical count $ 1. 2. 3. 4. 5. 6. Correct inventory $

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