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Question - At the beginning of the year, Sheffield Shipping Lid., a company that has a perpetual inventory system, had $62,700 of inventory. During the year, inventory costing $250,800 was purchased. Of this, $29,300 was returned to the supplier and a 5% discount was taken on the remainder. Freight costs incurred by the company for inventory purchases amounted to $3,010. The cost of goods sold during the year was $249,200.
Determine the balance in the Inventory account at the end of the year.
Prepare the adjusting entry that would be required if the inventory count determined that Sheffield Shipping had inventory with a cost of $24,400 at the end of the year.
On March 21, Christine, while working on Job A-1 used $27 of indirect material. Determine the total cost that should have been recorded
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