Reference no: EM132694935

Question - Sanchez Company engaged in the following transactions during Year 1:

1) Started the business by issuing $12,900 of common stock for cash.

2) The company paid cash to purchase $7,800 of inventory.

3) The company sold inventory that cost $5,200 for $10,650 cash.

4) Operating expenses incurred and paid during the year, $4,700.

Sanchez Company engaged in the following transactions during Year 2:

1) The company paid cash to purchase $11,200 of inventory.

2) The company sold inventory that cost $9,400 for $17,250 cash.

3) Operating expenses incurred and paid during the year, $5,700.

Note: Sanchez uses the perpetual inventory system.

Required - What is the amount of inventory that will be shown on the balance sheet at December 31, Year 2?