Errors in Inventory Counts The following information was taken from the records of Spencer Enterprises: 2013 2012 Beginning inventory $63,000 $83,000 Cost of goods purchased 548,000 508,000 Cost of goods available for sale 611,000 591,000 Ending inventory 93,000 63,000 Cost of goods sold $518,000 $528,000 The following two errors were made in the physical inventory counts: 1. 2012 ending inventory was overstated by $33,000. 2. 2013 ending inventory was understated by $28,000. Compute the correct cost of goods sold for both 2012 and 2013. 2013 2012 Cost of goods sold $ 0 $ 0 Lower-of-Cost-or-Net Realizable Value Method The following data are taken from the Smith & Wesson Corporation's inventory accounts: Net Item Unit Realizable Code Quantity Cost Value ZKE 100 $36 $34 XYF 300 47 48 MNJ 400 36 34 UBS 200 47 51 Calculate the value of the company's ending inventory using the lower of cost and net realizable value method applied to each item of inventory. Ending Inventory Value: $ 0