DELTA Company reported on December 31,2021 at P7,000,000 based on physical count of goods priced at cost and before any necessary year end adjustments relating to the following. Included in the physical count were goods billed to a customer FOB Shipping Point on December 30, 2021. These goods had a cost of 200,000 and were picked by the carrier on January 5, 2022. Goods shipped FOB Shipping point on December 28, 2021 from a venfor to Delta were received and recorded on January 4, 2022. The invoice cost was P300,000. What amount should be reported as inventory on December 31, 2021?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

DELTA Company reported on December 31,2021 at P7,000,000 based on physical count of goods priced at cost and before any necessary year end adjustments relating to the following.

Included in the physical count were goods billed to a customer FOB Shipping Point on December 30, 2021.
These goods had a cost of 200,000 and were picked by the carrier on January 5, 2022.

Goods shipped FOB Shipping point on December 28, 2021 from a venfor to Delta were received and recorded on January 4, 2022. The invoice cost was P300,000.

What amount should be reported as inventory on December 31, 2021?

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Financial Reporting in Hyperinflationary Economies
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education