Holiday, Inc.s inventory of $887,000 at December 31, 2017, was based on a physical count...
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Accounting
Holiday, Inc.s inventory of $887,000 at December 31, 2017, was based on a physical count of goods priced at cost. The total does not include any adjustments for the following items.
(a)
Goods shipped from a vendor f.o.b. destination on December 24, 2017, at an invoice cost of $12,000 to Holiday were received on January 4, 2018. These goods were excluded from the physical count.
(b)
The physical count excluded goods held by a retailer (Deals Corp.) on consignment for Holiday, Inc. The cost of these goods to Holiday was $32,000. Holiday did not record a sale when it shipped the goods to Deals.
(c)
The inventory included $48,000 of goods that were in Holidays warehouse on the morning of December 31, 2017 but were shipped to a customer f.o.b. shipping point later that day, after they had been included in the physical inventory count.
What inventory amount should appear on Holidays December 31, 2017 balance sheet?
Inventory to be reported: $
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