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The Kwik Company's inventory balance on December 31, 2024, was $195,000 (based on a 12/31/2024 physical count) before considering the following transactions: 1. Goods shipped to Kwik f.o.b. destination on December 20, 2024, were received on January 4, 2025. The invoice cost was $36,000. 2. Goods shipped to Kwik f.o.b. shipping point on December 28, 2024, were received on January 5, 2025. The invoice cost was $23,000. 3. Goods shipped from Kwik to a customer f.o.b. destination on December 27, 2024, were received by the customer on January 3, 2025. The sales price was $46,000 and the inventory cost $28,000. 4. Goods shipped from Kwik to a customer f.o.b. destination on December 26, 2024, were received by the customer on December 30, 2024. The sales price was $26,000 and the inventory cost $19,000. 5. Goods shipped from Kwik to a customer f.o.b. shipping point on December 28, 2024, were received by the customer on January 4, 2025. The sales price was $31,000 and the inventory cost $18,000. Required: Determine the correct inventory amount to be reported in Kwik's 2024 balance sheet

The Kwik Company's inventory balance on December 31, 2024, was $195,000 (based on a 12/31/2024 physical count) before considering the following transactions: 1. Goods shipped to Kwik f.o.b. destination on December 20, 2024, were received on January 4, 2025. The invoice cost was $36,000. 2. Goods shipped to Kwik f.o.b. shipping point on December 28, 2024, were received on January 5, 2025. The invoice cost was $23,000. 3. Goods shipped from Kwik to a customer f.o.b. destination on December 27, 2024, were received by the customer on January 3, 2025. The sales price was $46,000 and the inventory cost $28,000. 4. Goods shipped from Kwik to a customer f.o.b. destination on December 26, 2024, were received by the customer on December 30, 2024. The sales price was $26,000 and the inventory cost $19,000. 5. Goods shipped from Kwik to a customer f.o.b. shipping point on December 28, 2024, were received by the customer on January 4, 2025. The sales price was $31,000 and the inventory cost $18,000. Required: Determine the correct inventory amount to be reported in Kwik's 2024 balance sheet

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The Kwik Company's inventory balance on December 31, 2024, was $195,000 (based on a 12/31/2024 physical count) before considering the following transactions: 1. Goods shipped to Kwik f.o.b. destination on December 20, 2024, were received on January 4, 2025. The invoice cost was $36,000. 2. Goods shipped to Kwik f.o.b. shipping point on December 28, 2024, were received on January 5, 2025. The invoice cost was $23,000. 3. Goods shipped from Kwik to a customer f.o.b. destination on December 27, 2024, were received by the customer on January 3, 2025. The sales price was $46,000 and the inventory cost $28,000. 4. Goods shipped from Kwik to a customer f.o.b. destination on December 26, 2024, were received by the customer on December 30, 2024. The sales price was $26,000 and the inventory cost $19,000. 5. Goods shipped from Kwik to a customer f.o.b. shipping point on December 28, 2024, were received by the customer on January 4, 2025. The sales price was $31,000 and the inventory cost $18,000. Required: Determine the correct inventory amount to be reported in Kwik's 2024 balance sheet. Correct inventory balance
Transcribed Image Text:The Kwik Company's inventory balance on December 31, 2024, was $195,000 (based on a 12/31/2024 physical count) before considering the following transactions: 1. Goods shipped to Kwik f.o.b. destination on December 20, 2024, were received on January 4, 2025. The invoice cost was $36,000. 2. Goods shipped to Kwik f.o.b. shipping point on December 28, 2024, were received on January 5, 2025. The invoice cost was $23,000. 3. Goods shipped from Kwik to a customer f.o.b. destination on December 27, 2024, were received by the customer on January 3, 2025. The sales price was $46,000 and the inventory cost $28,000. 4. Goods shipped from Kwik to a customer f.o.b. destination on December 26, 2024, were received by the customer on December 30, 2024. The sales price was $26,000 and the inventory cost $19,000. 5. Goods shipped from Kwik to a customer f.o.b. shipping point on December 28, 2024, were received by the customer on January 4, 2025. The sales price was $31,000 and the inventory cost $18,000. Required: Determine the correct inventory amount to be reported in Kwik's 2024 balance sheet. Correct inventory balance
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