Question
At December 31, 2020, Gold Inc. had recorded $150,000 in its inventory account. The controller found three unrecorded inventory purchase orders on her desk on
At December 31, 2020, Gold Inc. had recorded $150,000 in its inventory account. The controller found three unrecorded inventory purchase orders on her desk on January 5, 2021:
Purchase order 1: 180 units of inventory, ordered on December 29, 2020, at $75 per unit. The shipping terms are FOB shipping point. The inventory was shipped on January 2, 2021.
Purchase order 2: 120 units of inventory, ordered on December 15, 2020, at $60 per unit. The shipping terms are FOB shipping point. The inventory was shipped on December 29, 2020.
Purchase order 3: 100 units of inventory, ordered on December 21, 2020, at $65 per unit. The shipping terms are FOB destination. The inventory was shipped on December 28, 2020, and received on January 2, 2021.
What amount should Gold record as its ending inventory on December 31, 2020?
Question 12 options:
| $170,700 |
| $157,200 |
| $177,200 |
| $150,000 |
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