Practice Q1 - Compute the correct December 31 inventory.

Crane Company just took its physical inventory. The count of inventory items on hand at the companys business locations resulted in a total inventory cost of $260,000. In reviewing the details of the count and related inventory transactions, you have discovered the following.

1.		Crane has sent inventory costing $20,000 on consignment to Alissa Company. All of this inventory was at Alissas showrooms on December 31.
2.		The company did not include in the count inventory (cost, $20,000) that was sold on December 28, terms FOB shipping point. The goods were in transit on December 31.
3.		The company did not include in the count inventory (cost, $16,000) that was purchased with terms of FOB shipping point. The goods were in transit on December 31.

Compute the correct December 31 inventory.

Correct December 31 inventory

$000000000