An entity reported inventory on December 31, 2020 at P6,000,000 based on a physical count of goods priced at

cost and before any necessary year-end adjustments relating to the following:

Excluded from the physical count were goods billed to a customer FOB shipping point on December

30, 2020. These goods had a cost of P125,000 and were picked up by the carrier on January 15,

2021.

Goods shipped FOB shipping point on December 31, 2020 which are being held for the customer

to call at the customer's convenience with a cost of P200,000 were included in the count.

Goods with invoice cost of P300,000 shipped FOB shipping point on December 31, 2020 from a

vendor were received on January 15, 2021

What amount should be reported as inventory on December 31, 2020?

a. 6,225,000

b. 6,100,000

c. 6,425,000

d. 6,300,000