Luminous Company provided the following information at current year-end:                       Finished goods in storeroom, at cost including overhead of P400,000       2,000,000 Finished good in transit, including freight charge of P20,000, FOB shipping point     250,000 Finished goods held by salesmen, at selling price, cost P100,000       140,000 Goods in process, at cost of materials and direct labor

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Luminous Company provided the following information at current year-end:

     
               

Finished goods in storeroom, at cost including overhead of P400,000

     

2,000,000

Finished good in transit, including freight charge of P20,000, FOB shipping point

   

250,000

Finished goods held by salesmen, at selling price, cost P100,000

     

140,000

Goods in process, at cost of materials and direct labor

       

720,000

Materials

           

1,000,000

Materials in transit, FOB destination

         

50,000

Defective materials returned to suppliers for replacement

     

100,000

Shipping supplies

         

20,000

Gasoline and oil for testing finished goods

       

110,000

Machine lubricants

         

60,000

               

Required:

             

Compute cost of inventory at current year-end:

         
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