Homestead Crafts, a distributor of handmade gifts, operates out of owner Emma Finn’s house. At the end of the current period, Emma looks over her inventory and finds that she has ∙ 1,300 units (products) in her basement, 20 of which were damaged by water and cannot be sold. ∙ 350 units in her van, ready to deliver per a customer order, terms FOB destination. ∙ 80 units out on consignment to a friend who owns a retail store. How many units should Emma include in her company’s period-end inventory?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Homestead Crafts, a distributor of handmade gifts, operates out of owner Emma Finn’s house. At the end
of the current period, Emma looks over her inventory and finds that she has
∙ 1,300 units (products) in her basement, 20 of which were damaged by water and cannot be sold.
∙ 350 units in her van, ready to deliver per a customer order, terms FOB destination.
∙ 80 units out on consignment to a friend who owns a retail store.
How many units should Emma include in her company’s period-end inventory?

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