matilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc.'s accountant may be desirable. One area of particular concern is the Inventory account, which has a ear-end balance of $253,760. Discussions with the accountant reveal the following. Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because they were not in the warehouse. The physical count of the inventory did not indlude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end. Sage Hill Inc. received goods costing $26,180 on January 2. The goods were shipped FOB shipping point on December 26 by Yanice Co. The goods were not included in the physical count. Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory. Sage Hill Inc. received goods costing $38,560 on January 2 that were shipped FOB destination on December 29. The shipment was a rush order that was supposed to arrive December 31. This purchase was induded in the ending inventory of $253,760. etermine the correct inventory amount on December 31.

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Chapter1: Financial Statements And Business Decisions
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Exercise 6-1
Umatilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc's accountant may be desirable. One area of particular concern is the Inventory account, which has
year-end balance of $253,760. Discussions with the accountant reveal the following.
1. Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because the
were not in the warehouse.
2. The physical count of the inventory did not indude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end.
3. Sage Hill Inc. received goods costing $26,180 on January 2. The goods were shipped FOB shipping point on December 26 by Yanice Co. The goods were not included in the physical count.
4. Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory.
5. Sage Hill Inc. received goods costng $38,560 on January 2 that were shipped FOB destination on December 29. The shipment was a rush order that was supposed to arrve December 31. This purchase was induded in the ending
inventory of $253,760.
Determine the correct inventory amount on December 31.
The correct inventory amount on December 31
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Transcribed Image Text:STaaPM x ugth.wileyplus.com/edugen/Iti/main.uni Indeed Monster Jobs Degree Progra High Energy Make 1 Hear Student Da.. Paused d pue S Consumer Center * The Ultimate Guide nancial Calculator. IS Kimmel, Financial Accounting, 8e Help I System Announcements CALCULATOR PRINTER VERSION 4BACK Exercise 6-1 Umatilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc's accountant may be desirable. One area of particular concern is the Inventory account, which has year-end balance of $253,760. Discussions with the accountant reveal the following. 1. Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because the were not in the warehouse. 2. The physical count of the inventory did not indude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end. 3. Sage Hill Inc. received goods costing $26,180 on January 2. The goods were shipped FOB shipping point on December 26 by Yanice Co. The goods were not included in the physical count. 4. Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory. 5. Sage Hill Inc. received goods costng $38,560 on January 2 that were shipped FOB destination on December 29. The shipment was a rush order that was supposed to arrve December 31. This purchase was induded in the ending inventory of $253,760. Determine the correct inventory amount on December 31. The correct inventory amount on December 31 %24 Click if you would like to Show Work for this question: Open Show Work VIDEO: APPLIED SKILLS LINK TO TEXT Question Attempts: 0 of 3 used SAVE FOR LATER SUBMIT ANSWER
matilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc.'s accountant may be desirable. One area of particular concern is the Inventory account, which has a
ear-end balance of $253,760. Discussions with the accountant reveal the following.
Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because they
were not in the warehouse.
The physical count of the inventory did not indlude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end.
Sage Hill Inc. received goods costing $26,180 on January 2. The goods were shipped FOB shipping point on December 26 by Yanice Co. The goods were not included in the physical count.
Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory.
Sage Hill Inc. received goods costing $38,560 on January 2 that were shipped FOB destination on December 29. The shipment was a rush order that was supposed to arrive December 31. This purchase was induded in the ending
inventory of $253,760.
etermine the correct inventory amount on December 31.
Transcribed Image Text:matilla Bank and Trust is considering giving Sage Hill Inc. a loan. Before doing so, it decides that further discussions with Sage Hill Inc.'s accountant may be desirable. One area of particular concern is the Inventory account, which has a ear-end balance of $253,760. Discussions with the accountant reveal the following. Sage Hill Inc. sold goods costing $55,290 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not induded in the physical inventory because they were not in the warehouse. The physical count of the inventory did not indlude goods costing $96,030 that were shipped to Sage Hill Inc. FOB destination on December 27 and were still in transit at year-end. Sage Hill Inc. received goods costing $26,180 on January 2. The goods were shipped FOB shipping point on December 26 by Yanice Co. The goods were not included in the physical count. Sage Hill Inc. sold goods costing $47,850 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Sage Hill Inc. physical inventory. Sage Hill Inc. received goods costing $38,560 on January 2 that were shipped FOB destination on December 29. The shipment was a rush order that was supposed to arrive December 31. This purchase was induded in the ending inventory of $253,760. etermine the correct inventory amount on December 31.
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