STaaPM xugth.wileyplus.com/edugen/Iti/main.uniIndeed Monster JobsDegree PrograHigh Energy Make1 Hear Student Da..Pausedd pueS Consumer Center* The Ultimate Guidenancial Calculator.IS Kimmel, Financial Accounting, 8eHelp I System AnnouncementsCALCULATORPRINTER VERSION4BACKExercise 6-1Umatilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc's accountant may be desirable. One area of particular concern is the Inventory account, which hasyear-end balance of $253,760. Discussions with the accountant reveal the following.1. Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because thewere not in the warehouse.2. The physical count of the inventory did not indude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end.3. Sage Hill Inc. received goods costing $26,180 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.4. Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory.5. Sage Hill Inc. received goods costng $38,560 on January 2 that were shipped FOB destination on December 29. The shipment was a rush order that was supposed to arrve December 31. This purchase was induded in the endinginventory of $253,760.Determine the correct inventory amount on December 31.The correct inventory amount on December 31%24Click if you would like to Show Work for this question: Open Show WorkVIDEO: APPLIED SKILLSLINK TO TEXTQuestion Attempts: 0 of 3 usedSAVE FOR LATERSUBMIT ANSWER matilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc.'s accountant may be desirable. One area of particular concern is the Inventory account, which has aear-end balance of $253,760. Discussions with the accountant reveal the following.Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because theywere not in the warehouse.The physical count of the inventory did not indlude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end.Sage Hill Inc. received goods costing $26,180 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.Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory.Sage Hill Inc. received goods costing $38,560 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 induded in the endinginventory of $253,760.etermine the correct inventory amount on December 31.

Inventory valuation refers to the process of determining the value of the goods available with the…

matilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc.'s accountant may be desirable. One area of particular concern is the Inventory account, which has a ear-end balance of $253,760. Discussions with the accountant reveal the following. Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because they were not in the warehouse. The physical count of the inventory did not indlude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end. Sage Hill Inc. received goods costing $26,180 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. Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory. Sage Hill Inc. received goods costing $38,560 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 induded in the ending inventory of $253,760. etermine the correct inventory amount on December 31.

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q