Question Below

LJ'LIESLIUH A 0T .3 ? - I I :2 View Policies Current Attempt in Progress Farley Bains, an auditor with Nolls CPAs, is performing a review of Monty Company/s Inventory accou nt. Monty did not have a good year, and top management is under pressure to boost reported income. According to its records, the inventory balance at yearend was $801,000. However, the following information was not considered when determining that amount. Prepare a schedule to determine the correct inventory amount. [ifan amount reduces the accountbaiame men enterwh a nasal\"? sign precedlm the number. 23. 45.000, arpareniesis 9.3. [15,000]. Enter Ofine 15 no effect] Ending inventoryas reported '1. Included in the company's count were goods with a cost of $293,000 that the company is holdingon consignment, The goods belong to Nader Corporation. 2. The physical count did not include goods purchased by Monty with a cost of $38,000 that were shipped FOB shipping point on December 28 and did not arrive at Monty's warehouse until January 3. 3. Included in the Inventory account was $19,100 of ofce supplies that were stored in the warehouse and were to be used by the company's su pervisors and managers during the coming year. 4. The company received an order on December 29 that was boxed and was sitting on the loading dock awaiting pickup on December 31. The shipper picked up the goods on January 1 and delivered them on January 6. The shipping terms were FOB shipping point. The goods had a selling price of $46,500 and a cost of $33,500.The goods were not included in the cou nt because they were sitting on the dock 5. Included in the countwas $51,500 of goods thatwere parts for a machine that the company no longer made' Given the hightech nature of Monty's products, it was unlikely that these obsolete parts had any other use. However, management wou ld prefer to keep them on the books at cost, "since that is what we paid for them, after all.\" Correct inventory Save for Later Attempts: 0 of 1 used