Carter Company shipped $45,000 worth of inventory to Gold Star Ltd on December 20". The goods were shipped FOB shipping point and are expected to reach Gold Star on January 5th. Carter has a December 31" year end and is including the $45,000 in the year end balance. Required Discuss why or why not the inventory account is correctly stated. List reasons for why the company chooses to include the $45,000 as inventory and not report it as cost of goods sold.