Homework Help is Here – Start Your Trial Now!
Business
Accounting
Houghton Limited is trying to determine the value of its ending inventory as of February 28, 2022, the company's year-end. The following transactions occurred, and the accountant asked your help in determining whether they should be recorded or not. For each of the transactions below, specify whether the item in question should be included in ending inventory. and if so, at what amount On February 26, Houghton shipped goods costing $800 to a customer and charged the customer $1,000. The goods were shipped with terms FOB shipping point and the receiving report indicates that the customer received the goods on (a) 24 Not Included March 2. On February 26. Crain Inc. shipped goods to Houghton under terms FOB shipping point. The invoice price was S600 plus $40 for freight. The receiving report indicates that the goods were received by Houghton on March 2. (b) ncluded (c) the warehouse Houghton had $750 of inventory The inventory is designated for a customer who has requested that the goods be shipped on March 1O. blated Included Also included in Houghton's warehouse is $730 of inventory that Korenic Producers shipped to Houghton on consignment. (d) Not included On February 26, Houghton issued a purchase order to acquire goods costing $970. The goods were shipped with (e) Not included %24

Houghton Limited is trying to determine the value of its ending inventory as of February 28, 2022, the company's year-end. The following transactions occurred, and the accountant asked your help in determining whether they should be recorded or not. For each of the transactions below, specify whether the item in question should be included in ending inventory. and if so, at what amount On February 26, Houghton shipped goods costing $800 to a customer and charged the customer $1,000. The goods were shipped with terms FOB shipping point and the receiving report indicates that the customer received the goods on (a) 24 Not Included March 2. On February 26. Crain Inc. shipped goods to Houghton under terms FOB shipping point. The invoice price was S600 plus $40 for freight. The receiving report indicates that the goods were received by Houghton on March 2. (b) ncluded (c) the warehouse Houghton had $750 of inventory The inventory is designated for a customer who has requested that the goods be shipped on March 1O. blated Included Also included in Houghton's warehouse is $730 of inventory that Korenic Producers shipped to Houghton on consignment. (d) Not included On February 26, Houghton issued a purchase order to acquire goods costing $970. The goods were shipped with (e) Not included %24

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter9: Current Liabilities And Contingent Obligations
Section: Chapter Questions
Problem 1MC: The balance in Ashwood Companys accounts payable account at December 31, 2019, was 1,200,000 before...
See similar textbooks
icon
Related questions
Question
Houghton Limited is trying to determine the value of its ending inventory as of February 28. 2022, the company's year-end. The following transactions occurred, and the accountant asked your help in determining whether they should be recorded or not. For each of the transactions below, specify whether the item in question should be included in ending inventory, and if so, at what amount. On February 26, Houghton shipped goods costing $800 to a customer and charged the customer $1,000. The goods were shipped with terms FOB shipping point and the receiving reportindicates that the customer received the goods on (a) Not Included March 2 On February 26. Crain Inc shipped goods to Houghton under terms FOB shipping point. The invoice price was S600 plus $40 for freight. The receiving report indicates that the goods were received by Houghton on March 2. (b) ncluded Houghton had $750 of inventory isolated in the warehouse The inventory is designated for a customer who has requested that the goods be shipped on March 1O. (c) nduded Also included in Houghton's warehouse is S730 of inventory that Korenic Producers shipped to Houghton on consignment. (d) Not included On February 26, Houghton issued a purchase order to acquire goods costing $970. The goods were shipped with (e) Not Included terms FOR destination on Februarv 27. Houehton received
Transcribed Image Text:Houghton Limited is trying to determine the value of its ending inventory as of February 28. 2022, the company's year-end. The following transactions occurred, and the accountant asked your help in determining whether they should be recorded or not. For each of the transactions below, specify whether the item in question should be included in ending inventory, and if so, at what amount. On February 26, Houghton shipped goods costing $800 to a customer and charged the customer $1,000. The goods were shipped with terms FOB shipping point and the receiving reportindicates that the customer received the goods on (a) Not Included March 2 On February 26. Crain Inc shipped goods to Houghton under terms FOB shipping point. The invoice price was S600 plus $40 for freight. The receiving report indicates that the goods were received by Houghton on March 2. (b) ncluded Houghton had $750 of inventory isolated in the warehouse The inventory is designated for a customer who has requested that the goods be shipped on March 1O. (c) nduded Also included in Houghton's warehouse is S730 of inventory that Korenic Producers shipped to Houghton on consignment. (d) Not included On February 26, Houghton issued a purchase order to acquire goods costing $970. The goods were shipped with (e) Not Included terms FOR destination on Februarv 27. Houehton received
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting Changes and Error Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
SEE MORE TEXTBOOKS