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On December 31, Howard Company had an ending inventory of $95, 100 based primarily on a physical count at its warehouse. In computing the final
On December 31, Howard Company had an ending inventory of $95, 100 based primarily on a physical count at its warehouse. In computing the final balance of Inventory, the following information was available: (a) Inventory items with a cost of $2, 040 were included in ending inventory. These goods were on consignment from Bailey Company and had not yet been sold on December 31. (b) Inventory items with a cost of $3, 770 were excluded from ending inventory. These goods were in transit from Howard Company to Murphy Company and were sold FOB shipping point. (c) Inventory items with a cost of S3, 770 were excluded from ending inventory. These goods were in transit from Ward Company to Howard Company and were purchased FOB destination. Using the information given above, compute the correct final balance of Inventory. Correct ending inventory balance: $
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