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In your audit of Newman Company, you find that a physical inventory on December 31, 2017, showed merchandise with a cost of $455,940 was on
In your audit of Newman Company, you find that a physical inventory on December 31, 2017, showed merchandise with a cost of $455,940 was on hand at that date. You also discover the following items were all excluded from the $455,940.
1. | Merchandise of $65,070 which is held by Newman on consignment. The consignor is the Max Suzuki Company. | |
2. | Merchandise costing $34,770 which was shipped by Newman f.o.b. destination to a customer on December 31, 2017. The customer was expected to receive the merchandise on January 6, 2018. | |
3. | Merchandise costing $47,070 which was shipped by Newman f.o.b. shipping point to a customer on December 29, 2017. The customer was scheduled to receive the merchandise on January 2, 2018. | |
4. | Merchandise costing $91,200 shipped by a vendor f.o.b. destination on December 30, 2017, and received by Newman on January 4, 2018. | |
5. | Merchandise costing $51,970 shipped by a vendor f.o.b. shipping point on December 31, 2017, and received by Newman on January 5, 2018. |
Based on the above information, calculate the amount that should appear on Newmans balance sheet at December 31, 2017, for inventory.
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