- Valuation Of Inventory The Inventory On Hand At The End Of 2016 For Reddall Company Is Valued At A Cost Of 94 000 The 1 (66.34 KiB) Viewed 59 times
Valuation of Inventory The inventory on hand at the end of 2016 for Reddall
Company is valued at a cost of $94,000. The following items were not included in this inventory: 1. Purchased goods in transit, under terms FOB shipping point, invoice price $4,200, freight costs $250. 2. Goods out on consignment to Marlman
Company, sales price $5,600, shipping costs of $300. 3. Goods sold to Grina Co. under terms FOB destination, invoiced for $1,900 which included $178 freight charges to deliver the goods. Goods are in transit. 4. Goods held on consignment by Reddall at a sales price of $2,700 which included sales commission of 20% of sales price. 5. Purchased goods in transit, shipped FOB destination, invoice price $2,100 which included freight charges of $190. Required: Determine the cost of the ending inventory that Reddall should report on its December 31, 2016, balance sheet, assuming that its selling price is 140% of the cost of the inventory. $ 102,980 x Feedback