*Exercise 6-2 Gatineau Bank is considering giving Riverbed Corporation a short-term bank loan. Before doing so, it decides that further discussions with Riverbed's accountant may be desirable. One area of particular concern is the inventory account, which according to a recent physical inventory count has a balance of $286,700 at December 31. This count agreed with the accounting records. Discussions with the accountant reveal the following: 1. Riverbed sold goods costing $31,500 to India-based Moghul Company, FOB destination, on December 28. The goods are not expected to arrive in India until January 12. The goods were not included in the physical Inventory count, because they were not in the warehouse. 2. The physical inventory count did not include goods costing s101,700 that were shipped Riverbed, FOB shipping point, on December 27 and were still in transit at year end. 3. Riverbed received goods costing $29,600 on January 2. The goods were shipped FOB shipping point on December 26 by Cellar Corp. The goods were not included in the physical inventory count. 4. Riverted sold goods costing $44,100 to United Kingdom-based Sterling of Britain Ltd., FOB shipping point, on December 30. The goods were received by Sterling on January They were not included in Riverbed's physical inventory count. 5. On December 31, Schiller Corporation had $29,400 of goods held on consignment for Riverbed. The goods were not included in the physical inventory count. 6. Included in the physical inventory count were $14,700 of parts outdated products that the company had not been able to sell. It is unlikely that these obsolete parts will have any other use. (a) Determine the correct inventory amount on December 31. (Record the transactions in the order presented in the problem. If an amount reduces the account balance then enter with negative sign preceding the number e.g.-45 or parentheses e.g. (45). If the transaction has "NO EFFECT ON INVENTORY", enter o for the amount.) Ending Inventory physical count 1. 2. 3. 4 5. 6. Correct inventory