As a result of a thorough physical inventory, Railway Company determined that it had inventory worth P180,000 at December 31, 2020. This count did not take into consideration the following facts: Rogers Consignment store currently has goods worth P35,000 on its sales floor that belong to Railway but are being sold on consignment by Rogers. The selling price of these goods is P50,000. Railway purchased P13,000 of goods that were shipped on December 27, FOB destination, that will be received by Railway on January 3. How much is the correct amount of inventory to be reported in Railway Company’s statement of financial position?Required to answer. Single choice.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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As a result of a thorough physical inventory, Railway Company determined that it had inventory worth P180,000 at December 31, 2020. This count did not take into consideration the following facts: Rogers Consignment store currently has goods worth P35,000 on its sales floor that belong to Railway but are being sold on consignment by Rogers. The selling price of these goods is P50,000. Railway purchased P13,000 of goods that were shipped on December 27, FOB destination, that will be received by Railway on January 3. How much is the correct amount of inventory to be reported in Railway Company’s statement of financial position?Required to answer. Single choice.

 
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