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WileyPLUS Chapter $6$ Homework: $6$a

Question $7$ of $10$

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Umatilla Bank and Trust is considering giving Carla Vista Company a loan. Before doing so$,$ it decides that further discussions with Carla Vista's accountant may be desirable. One area of particular concern is the Inventory account, which has a year$-$end balance of $$261,940.$ Discussions with the accountant reveal the following.

Carla Vista shipped goods costing $$55,$$$00$ to Metlock Company FOB shipping point on December $28.$ The goods are not expected to reach Metlock until January $12.$ The goods were not included in the physical inventory because they were not in the warehouse.

The physical count of the inventory did not include goods costing $$97,720$ that were shipped to Carla Vista F$$B destination on December $27$ and were still in transit at year$-$end.

Carla Vista received goods costing $$25,980$ on January $2.$ The goods were shipped FOB shipping point on December $26$ by Yanice Co$.$ The goods were not included in the physical count.

Carla Vista shipped goods costing $$54,080$ to Ehler of Canada FOB destination on December $30.$ The goods were received in Canada on January $8.$ They were not included in Carla Vista's physical inventory.

Carla Vista received goods costing $$40,170$ on January $2$ that were shipped FOB destination on December $29.$ The shipment was a rush order that was supposed to arrive December $31$: This purchase was included in the ending inventory of $$261,940.$

Determine the correct inventory amount on December $31.$

Correct inventory amount on December $31$$

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