Charles Wilson, an auditor with A. Idol CPAs, is performing a review of Sunland Company's inventory account. Sunland did not have a good year, and top management is under pressure to boost reported income. According to its records, the inventory balance at yearend was $626,000. However, the following information was not considered when determining that amount. 1. Included in the company's count were goods with a cost of $207,000 that the comparny is hoiding on consignment. The goods were placed on consignment by Underwood Corporation. 2. The physical count did not include goods purchased by Sunland with acost of $37,200 that were shipped FOB shipping point on December 28 and did not arrive at Sunland's warehouse until January 3 . 3. Included in the inventory account was $23,000 of office supplies that were stored in the warehouse and were to be used by the company's supervisors and managers during the coming year. 4. The company received a customer's order on December 29 that was boxed and was sitting on the loading dock awaiting pick-up on Decernber 31. The shipper picked up the goods on January 1 and delivered them on January 6 . The shipping terms were FOB shipping point. The goods had a selling price of $37,200 and a covt of $27,900. The goods were not included in the count because they were sitting on the dock. 5. On December 29,5 unland shipped goods with a selling price of $99,000 and a cost of $77,000 to Perry Corporation FOB shipping point. The goods arrived on January 3 . Perry had only ordered goods with a selling price of 59,300 and a cost of \$7,440. However, a sales manager at Sunland had authorized the shipment and said that if Perry wanted to ship the goods back next week it could. 6. Included in the count was $46,900 of goods that were parts for a machine that the company no fonger made Given the high-tech nature of Sunland's products, it was unlikely that these obsolete parts had any other use. However, management would prefer to keep them on the books at cost, "since that is what we pald for them, alter all:" (a1) Prepare a schedule to determine the correct imventory amount: Ending inventory as reported 5 1. 2. 3. 4. 5. 6 Correct inwentery