Gatineau Bank is considering giving Ayayai Corporation a short-term bank loan. Before doing so, it decides that further discussions with Ayayais 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 $265,600 at December 31. This count agreed with the accounting records. Discussions with the accountant reveal the following:

1.		Ayayai sold goods costing $32,000 to India-based Moghul Company, FOB destination, on December 28. Ayayai does not expect the goods 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 $101,800 that a supplier shipped to Ayayai, FOB shipping point, on December 27 and that were still in transit at year end.
3.		Ayayaireceived goods costing $26,600 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.		Ayayaisold goods costing $44,700 to United Kingdombased Sterling of Britain Ltd., FOB shipping point, on December 30. Sterling received the goods on January 8. They were not included in Ayayais physical inventory count.
5.		On December 31, Schiller Corporation had $32,900 of goods held on consignment for Ayayai. The goods were not included in the physical inventory count.
6.		Included in the physical inventory count were $13,900 of parts for outdated products that the company had not been able to sell. It is unlikely that these obsolete parts will have any other use.

Determine the correct inventory amount on December 31.