Flash Company's inventory at June 30, 2014, was $75,000 based on a physical count of goods priced at cost, and before any necessary year-end adjustment relating to the following: • Included in the physical count were goods billed to a customer FOB shipping point on June 30, 2014 . These goods had a cost of $1,500 and were picked up by the carrier on July 10, 2014. • Goods shipped FOB
destination on June 28, 2014, from a vendor to Flash were received on July 3, 2014 . The invoice cost was $2,500. What amount should Flash report as inventory on its June 30, 2014, balance sheet?
a. $73,500
b. $74,000
c. $75,000
d. $76,500
C
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