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I think I did this right but I am not sure. You are engaged to audit the Ferrick Corporation for the year ended December 31,
I think I did this right but I am not sure.
You are engaged to audit the Ferrick Corporation for the year ended December 31, 2015. Only merchandse shipped by the Ferrick Corporation to customers up to and induding December 30, 2015, has been eliminated from inventory. The inventory as determined by physical inventory count has been recorded on the baoks by the company's controler. No perpetual inventary records are maintained. All sales are made on an FOB shipping point basis. You are to assume that all purchase invoices have been correctly recorded The following lists of sales invcices are entered in the sales journal for the months of December 2015 and January 2016, respectively. Cost of Sales Invoice Sales Invoice Date Date Shipped Sold December 2015 2,000 1,000 4.000 Dec. 31 Dec. 29 Dec. 31 Dec. 30 800 600 2.400 5.600 Dec. 13 Dec. 30 Jan. 9 Dec. 29 d. anuary 2016 ,000 8,000 an. 2 Jan. 3 2.300 5,500 an 2 Dec. 31 Shipped toStep by Step Solution
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