On December 31, Flores Company had an ending inventory of $67,700 based primarily on a physical count at its warehouse. In computing the final balance of Inventory, the following information was available:
a) Inventory items with a cost of $3,370 were included in ending inventory. These goods were on consignment to Sanchez Company. They had not yet been sold.
(b) Inventory items with a cost of $3,970 were excluded from ending inventory. These goods were in transit from Howard Company to Flores Company and were purchased FOB shipping point.
(c) Inventory items with a cost of $2,980 were included in ending inventory. These goods were in transit from Flores Company to Washington Company and were sold FOB destination.
Required:
Using the information given above, compute the correct final balance of Inventory.