Greene Company purchases $8,000 of inventory with shipping terms, FOB Columbus. Greene is based in Dayton and the supplier is based in Columbus. The shipping costs are $450. What is the cost of Greene's inventory?
A) $8,000
B) $8,450
C) Either $8,000 or $8,450 is an acceptable amount to assign to inventory cost under GAAP.
D) There is not enough information to calculate inventory cost.
Correct Answer:
Verified
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