Sheridan Company is trying to determine the value of its ending inventory as at February the company's year end. The
accountant counted everything that was in the warehouse as at February which resulted in an ending inventory valuation of
$ However, he was not sure how to treat the following transactions, so he did not include them in inventory:
a
For each of the below transactions, specify whether the item should be included in ending inventory, and if so at what amount.
Sheridan Company shipped $ of inventory on consignment to
Crane Company on February By February Crane Company
had sold $ of this inventory for Sheridan.
On February Sheridan was holding merchandise that had
been sold to a customer on February but needed some minor
alterations. The alterations have been performed. The customer
has paid for the goods and will pick them up on March This
inventory cost $ and was sold for $
