Whims Card Company purchases inventory from China and incurs the following costs: the cost of the merchandise is $50,000, terms are 2/10, n/30; FOB shipping point transportation costs are $1,500; insurance during transit is $500; and import duties are $1,000. Whims Card Company paid within the discount period.
Compute the cost that should be assigned to the inventory? Please explain/ show step by step of how you calculated it.