As a result of a thorough physical inventory, railway company determined that it had inventory worth $180,000 at december 31. this count did not take into consideration the following facts: rogers consignment store currently has goods worth $35,000 on its sales floor that belong to railway but are being sold on consignment by rogers. the selling price of these goods is $50,000. railway purchased $13,000 of goods that were shipped on december 27, fob destination, that will be received by railway on january 3. determine the correct amount of inventory that railway should report.

The east asiatic company (eac), a danish company with subsidiaries throughout asia, has been funding its bangkok subsidiary primarily with u.s. dollar debt because of the cost and availability of dollar capital as opposed to thai baht-denominated (b) debt. the treasurer of eac-thailand is considering a 1-year bank loan for $247,000.the current spot rate is b32.03 /$, and the dollar-based interest is 6.78% for the 1-year period. 1-year loans are 12.04% in baht.a. assuming expected inflation rates of 4.3 % and 1.24% in thailand and the united states, respectively, for the coming year, according to purchase power parity, what would the effective cost of funds be in thai baht terms? b. if eac's foreign exchange advisers believe strongly that the thai government wants to push the value of the baht down against the dollar by5% over the coming year (to promote its export competitiveness in dollar markets), what might the effective cost of funds end up being in baht terms? c. if eac could borrow thai baht at 13% per annum, would this be cheaper than either part (a) or part (b) above?