Inventory items with a cost of 2760 were excluded from


Question - On December 31, Brown Company had an ending inventory of $79,000 based primarily on a physical count at its warehouse. In computing the final balance of Inventory, the following information was available:

(a) Inventory items with a cost of $2,760 were excluded from ending inventory. These goods were on consignment from Jones Company and had not yet been sold on December 31.

(b) Inventory items with a cost of $3,380 were excluded from ending inventory. These goods were in transit from Thomas Company to Brown Company and were purchased FOB shipping point.

(c) Inventory items with a cost of $3,260 were included in ending inventory. These goods were in transit from Brown Company to Foster Company and were sold FOB destination.

What is the correct final balance of inventory?

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Accounting Basics: Inventory items with a cost of 2760 were excluded from
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