The following information was taken from the records of a branch: Sales by branch Beginning inventory Billings to branch by home office Operating expenses 2,800,000 2,500,000 400,000 Ending inventory...

How much is the ending inventory of the branch to be included in the combined financial statements?

a. 1,250,000

b. 800,000

c. 1,000,000

d. 8333,333

Extracted text: The following information was taken from the records of a branch: Sales by branch Beginning inventory Billings to branch by home office Operating expenses 2,800,000 2,500,000 400,000 Ending inventory at billed price 1,000,000 The following information was taken from the records of the home office: Branch current account 2,600,000 Shipments to branch Allowance for markup - Unadjusted 2,000,000 500,000