Required: Compute for the correct amount of inventory to be presented in CCC’s statement of financial position. Raw materials on which the company hasstarted production but not yet completedUnused machine lubricants450,00030,000Costs identified with units completed but not yetsold330,000Temporary investment in stocks and bonds thatwill be resold in the near future400,000Goods sold on installment basis due in threeequal annual paymentsGoods sold by Luanda with a right to repurchasethe same within six months220,000155,0003. Compute for the correct amount of inventory to be presented in CCC's statement offinancial position. CCC Company included the following items under inventories:Goods out on consignment at anothercompany's storeGoods held on consignment at the Luanda'sstoresP1,000,000750,000300,000Goods purchased FOB seller that are in transitOffice supplies not yet usedGoods purchased FOB buyer that are in transitGoods sold where large returns are predictableGoods sold FOB shipping point that are in transitFreight charges on goods purchasedInterest cost incurred for inventories that are30,000200,00060,000400,00030,000routinely manufacturedCosts incurred to advertise goods held for saleFactory labor costs incurred on goods still unsoldFreight paid for transporting goods to consigneesMaterials on hand not yet placed intoproduction50,00010,000400,00030,000500,000

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Description: Required: Compute for the correct amount of inventory to be presented in CCC’s statement of financial position. Raw materials on which the company hasstarted production but not yet completedUnused machine lubricants450,00030,000Costs identified with

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Raw materials on which the company has started production but not yet completed Unused machine lubricants 450,000 30,000 Costs identified with units completed but not yet sold 330,000 Temporary investment in stocks and bonds that will be resold in the near future Goods sold on installment basis due in three 400,000 equal annual payments Goods sold by Luanda with a right to repurchase the same within six months 220,000 155,000 3. Compute for the correct amount of inventory to be presented in CCC's statement of financial position.

Raw materials on which the company has started production but not yet completed Unused machine lubricants 450,000 30,000 Costs identified with units completed but not yet sold 330,000 Temporary investment in stocks and bonds that will be resold in the near future Goods sold on installment basis due in three 400,000 equal annual payments Goods sold by Luanda with a right to repurchase the same within six months 220,000 155,000 3. Compute for the correct amount of inventory to be presented in CCC's statement of financial position.

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

ChapterC: Inventory Methods

Section: Chapter Questions

Problem 2P: Use the information presented in Problem C-1 to solve this problem. Bean Nursery sells bark to its...

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