Reference no: EM132730433

Question - Below are situations which may alter the balances per record as of the end of the year. Assume a periodic inventory system and all sales and purchases are on credit.

The unadjusted balances from the records of the company are as follows:

Accounts Receivable 500,000

Inventory 300,000

Accounts Payable 450,000

Sales 1,500,000

Cost of Goods Sold 1,000,000

1. Goods in transit shipped "f.o.b. destination" by supplier were recorded as a purchases but were excluded from ending inventory, P 250,000.

2. Goods held on consignment were included in inventory count and recorded as a purchase, P 300,000.

3. Goods in transit shipped " f.o.b. shipping point" were not recorded as a sale. P 250,000 and were included in ending inventory. The cost is 80% of sales.

4. Goods were shipped and appropriately excluded from ending inventory but sales of P 100,000 was not recorded. Gross Profit is 30% of sales.

Required - How much is the adjusted Cost of Goods Sold?