Vaughn Inc. took a physical inventory at the end of the year and determined that $784000 of goods were on hand. In addition, Vaughn, Inc. determined that $62500 of goods that were in transit that were shipped f.o.b. shipping point were actually received two days after the inventory count and that the company had $87000 of goods out on consignment. What amount should Vaughn report as inventory at the end of the year?