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Midway Corporation has just completed a physical inventory count at year end, December 31, 2020. Only the items on the shelves, in storage, and in
Midway Corporation has just completed a physical inventory count at year end, December 31, 2020. Only the items on the shelves, in storage, and in the receiving area were counted and costed using FIFO. The inventory amounted to $130,000. During the audit, the independent Professional Accountant discovered the following items: On December 27, 2020, a customer purchased goods for cash amounting to $1,000 and left them for pickup on January 4, 2021. Midway Corporation had paid $500 for the goods and, because they were on hand, included them in the physical inventory count. The adjustment to inventory is to (enter either add or subtract) A/ the amount of (enter the amount without a dollar sign, commas, decimals, or spaces) A to (or from) ending inventory
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