Sherman,Inc $\$ 2,000$ Of Goods Shipped by a Supplier to Sherman Sent FOB

question 41

Multiple Choice

Sherman,Inc.counted its ending inventory as $178,000 at year-end,January 31,2017.Upon review of the records,it was noted that the following items were in transit during the count: ?
A) $\$ 2,000$ of goods shipped by a supplier to Sherman sent FOB destination point on January 31 were received February 5 , and were not counted by Sherman.

B) $\$ 5,000$ of goods shipped by a supplier to Sherman sent FOB shipping point on January 30 were received February 2, and were not counted by Sherman.

C) $\$ 6,000$ of goods shipped by Sherman to a customer sent FOB shipping point on January 31 were received February 3 , and were counted by Sherman. Determine the correct inventory balance at January 31.

• A) \(\$ 2,000\) of goods shipped by a supplier to Sherman sent FOB destination point on January 31 were received February 5 , and were not counted by Sherman.
• B) \(\$ 5,000\) of goods shipped by a supplier to Sherman sent FOB shipping point on January 30 were received February 2, and were not counted by Sherman.
• C) \(\$ 6,000\) of goods shipped by Sherman to a customer sent FOB shipping point on January 31 were received February 3 , and were counted by Sherman. Determine the correct inventory balance at January 31.
• A)$178,000
• B)$177,000
• C)$174,000
• D)$172,000

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