Farley Bains, an auditor with Nolls CPAs, is performing a review of Windsor, Inc.'s Inventory account Windsor, Inc. did not have a good year, and top management is under pressure to boost reported income. According to its records, the inventory balance at year-end was $819,000. However, the following information was not considered when determining that amount Prepare a schedule to determine the correct inventory amount of an amount reduces the account balance then enter with a negative sign preceding the number, eg. -15,000, or parenthesis es (15,000). Enter O if there is no el o effect.) 819,000 Ending inventory-as reported 1. Included in the company's count were goods with a cost of $284,000 that the company is holding on consignment. The goods belong to Nader Corporation. -284,000 2. 35.000 The physical count did not include goods purchased by Windsor, Inc. with a cost of $35,000 that were shipped FOB shipping point on December 28 and did not arrive at Windsor. Incis warehouse until January 3. 3 - 18.000 Included in the Inventory account was $18,000 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. 30.500 The company received an order on December 29 that was boxed and was sitting on the loading dock awaiting pick-up on December 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 $49.000 and a cost of $30.500. The goods were not included in the count because they were sitting on the dock. 1. Included in the company's count were goods with a cost of $284,000 that the company is holding on consignment. The goods belong to Nader Corporation. -284.000 2. 35.000 The physical count did not include goods purchased by Windsor, Inc with a cost of $35,000 that were shipped FOB shipping point on December 28 and did not arrive at Windsor, Inc's warehouse until January 3. 3. - 18.000 Included in the Inventory account was $18,000 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 30.500 The company received an order on December 29 that was boxed and was sitting on the loading dock awaiting pick-up on December 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 $49.000 and a cost of $30,500. The goods were not included in the count because they were sitting on the dock, 5. -51.500 Included in the count was $51,500 of goods that were parts for a machine that the company no longer made. Glven the high-tech nature of Windsor, Inc'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 paid for them, after all." $ Correct inventory
