Answer:
$306,620
Explanation:
Umatilla Bank and Trust
The Unadjusted inventory is $277,880
Adjustments:
1. No adjustment because the ownership is already been transferred to the buyer at shipping point.
Hence , the goods are not included in value of inventory.
2. No adjustment as the ownership will as well make transfer once the other pay will receive the inventory but the inventory is not yet recieved.
3. 27,180 ownership is with Pronghorn Corp that means it should be included in the inventory
4. 46,830 ownership is been retained by Pronghorn Corp, the inventory will as well be be included
5. 45,270 ownership is not been retained be
by Pronghorn Corp, which means it has to be excluded from the inventory.
Hence:
The adjusted inventory will be:
277,880 +27,180+46,830-45,270
= $306,620
