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dybincka [34]
3 years ago
13

Brief Exercise 6-02 Tamarisk, Inc. took a physical inventory on December 31 and determined that goods costing $190,000 were on h

and. Not included in the physical count were $29,000 of goods purchased from Sheffield Corp., FOB, shipping point, and $24,000 of goods sold to Wildhorse Co. for $33,000, FOB destination. Both the Sheffield purchase and the Wildhorse sale were in transit at year-end. What amount should Tamarisk report as its December 31 inventory? Ending Inventory $
Business
1 answer:
Rudiy273 years ago
4 0

Answer:

The amount should Tamarisk report as its December 31 inventory is $252,000

Explanation:

The computation of the ending inventory is shown below:

= Stock on hand + goods purchased from Sheffield Corp + goods sold to Wild horse Co.

= $190,000 + $29,000 + $33,000

= $252,000

We considered all the amounts which are given in the question i.e FOB destination and FOB shipping point which is added to the physical inventory on hand.

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