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Can someone explain in detail please! thank you! especially #3, 4, 5. I dont know what number to use for the inventory. The Kwok Company's
Can someone explain in detail please! thank you!
especially #3, 4, 5. I dont know what number to use for the inventory.
The Kwok Company's inventory balance on December 31, 2018, was $255,000 (based on a 12/31/18 physical count) before considering the following transactions: 1. Goods shipped to Kwok f.o.b. destination on December 20, 2018, were received on January 4, 2019. The invoice cost was $48,000. 2.Goods shipped to Kwok fo.b. shipping point on December 28, 2018, were received on January 5, 2019. The invoice cost was 3. Goods shipped from Kwok to a customer f.o.b. destination on December 27, 2018, were received by the customer on January 3, 4. Goods shipped from Kwok to a customer f.o.b. destination on December 26, 2018, were received by the customer on December 30, 5. Goods shipped from Kwok to a customer fob. shipping point on December 28, 2018, were received by the customer on January 4, $35,000. 2019. The sales price was $58,000 and the merchandise cost $40,000 2018. The sales price was $38,000 and the merchandise cost $31,000 2019. The sales price was $43,000 and the merchandise cost $30,000. Required: Determine the correct inventory amount to be reported in Kwok's 2018 balance sheet. Correct inventory balanceStep by Step Solution
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