Chang Company Took a Physical Inventory at December 31, 2013

Multiple Choice

Chang Company took a physical inventory at December 31, 2013 and determined that ¥3,950,000 of goods were on hand. Included in the count was inventory of ¥700,000 on consignment from Keiko Company. On December 30, Chang sold and shipped F.o.b. destination ¥820,000 worth of inventory. These goods arrived at the buyer's place of business on January 2, 2014. What amount should Chang report for inventory on its December 31, 2013 statement of financial position?

A) ¥3,950,000.
B) ¥4,070,000.
C) ¥3,370,000.
D) ¥4,770,000.