Answer:
$83,000
Explanation:
Calculation of the amount of inventory that Stitch should report in its year-end balance sheet
First step is to calculate for the 10% price increase
Increase price = ( $30,000 x 10% ) =$3,000
Second step is to add up the price increase to the amount of increase in inventory
$30,000 + $3,000 =$33,000
Hence, $33,000 will now be the increased in price inventory
Last step is to calculate for the amount of inventory that Stitch should report in its year-end balance sheet
Using this formula
Inventory to be reported = Valued of the Adoption inventory + Increase price Inventory
Where,
Adoption inventory value= $50,000
Increase price Inventory=$33,000
Let plug in the formula
Inventory to be reported = $50,000 + $33,000
Inventory to be reported =$83,000
Therefore the amount of inventory that Stitch should report in its year-end balance sheet will be $83,000
