Problem 7 State if item should be INCLUDED or EXCLUDED from the ending inventory. a) Goods-in-transit to the customer FOB shipping point which was received on 1/5/21, P250,000 plus freight prepaid of P10,000. Customer was billed on 12/28/20. b) Goods consigned with a customer with selling price of P120,000 and gross profit on cost of 20%. c) Goods-in-transit the customer FOB shipping point which was delivered to the shipping company on 12/30/20 but was only received by the customer on 1/4/20. Behbe issued bill on 12/30/20. Invoice price was P200,000 excluding freight of P20,000 which was to be paid by customer. d) Goods-in-transit to customer FOB destination costing P300,000. It was shipped and billed on 12/23/20. On 1/1/21, it was found at the outside of the receiving room of the customer. Upon checking, it was found out that Behbe paid freight of P20,000 for it. e) Goods-in-transit to customer FOB shipping point with cost of P220,000 plus freight prepaid of P3,000. Sent and billed on 12/29/20. Customer received the goods on 1/4/21.
Problem 7
State if item should be INCLUDED or EXCLUDED from the ending inventory.
a) Goods-in-transit to the customer FOB shipping point which was received on 1/5/21, P250,000
plus freight prepaid of P10,000. Customer was billed on 12/28/20.
b) Goods consigned with a customer with selling price of P120,000 and gross profit on cost of
20%.
c) Goods-in-transit the customer FOB shipping point which was delivered to the shipping
company on 12/30/20 but was only received by the customer on 1/4/20. Behbe issued bill
on 12/30/20. Invoice price was P200,000 excluding freight of P20,000 which was to be paid
by customer.
d) Goods-in-transit to customer FOB destination costing P300,000. It was shipped and billed on
12/23/20. On 1/1/21, it was found at the outside of the receiving room of the customer.
Upon checking, it was found out that Behbe paid freight of P20,000 for it.
e) Goods-in-transit to customer FOB shipping point with cost of P220,000 plus freight prepaid
of P3,000. Sent and billed on 12/29/20. Customer received the goods on 1/4/21.
Step by step
Solved in 2 steps
