As a Result of a Thorough Physical Inventory, Hastings Company

question 204

Multiple Choice

As a result of a thorough physical inventory, Hastings Company determined that it had inventory worth $270,000 at December 31, 2010. This count did not take into consideration the following facts: Carlin Consignment store currently has goods worth $52,000 on its sales floor that belong to Hastings but are being sold on consignment by Carlin. The selling price of these goods is $75,000. Hastings purchased $20,000 of goods that were shipped on December 27. FOB destination, that will be received by Hastings on January 3. Determine the correct amount of inventory that Hastings should report.

• A) $290,000.
• B) $342,000.
• C) $322,000.
• D) $345,000.

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Definitions:

Corporate Social Responsibility

The commitment of a business to contribute to sustainable economic development by working with employees, their families, the local community, and society to improve their quality of life.

Contextual Approach

Emphasizes understanding behaviors, practices, or phenomena by considering the situation or environment in which they occur.

Deeply Embedded

A term used to describe something that is firmly and deeply ingrained or established within a particular context or environment.

Social Cause

A societal issue or cause that individuals or organizations actively work to address or support, often to promote change.