Question
In your audit of Newman Company, you find that a physical inventory on December 31, 2017, showed merchandise with a cost of $403,730was on hand
In your audit of Newman Company, you find that a physical inventory on December 31, 2017, showed merchandise with a cost of $403,730was on hand at that date. You also discover the following items were all excluded from the $403,730.
| 1. | Merchandise of $61,080which is held by Newman on consignment. The consignor is the Max Suzuki Company. |
| 2. | Merchandise costing $35,400which 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 $43,270which 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 $84,630shipped by a vendor f.o.b. destination on December 30, 2017, and received by Newman on January 4, 2018. |
| 5. | Merchandise costing $47,400shipped 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.
| Inventory as on December 31, 2017 | $ |
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Understanding Basic Statistics
Authors: Charles Henry Brase, Corrinne Pellillo Brase
6th Edition
978-1133525097, 1133525091, 1111827028, 978-1133110316, 1133110312, 978-1111827021
