PROBLEM 2. Closing inventory at cost of a company amounted to $9,56,700. The following items...
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PROBLEM 2. Closing inventory at cost of a company amounted to $9,56,700. The following items were included at cost in the total : (i) 350 Shirts, which had cost $380 each and normally sold for $750 each. Owing to a defect in manufacture, they were all sold after the Balance Sheet date at 50% of their normal price. Selling expenses amounted to 5% of the proceeds. (ii) 700 Trousers, which had cost $520 each. These too were found to be defective. Selling expenses for the batch totaled $3,800. They were sold for $950 each. What should be the closing inventory value, after considering the above items
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