Gordon company's inventory at june 2011 was $75000 based on a physical count of goods priced at cost, and before any necessary year-end adjustment relating to the following:

--Include in the physical count were goods billed to a customer FOB shipping point on June 30,2011. These goods had a cost of $1,500 and were picked up by the carrier on July 2,2011.

-- goods shipped FOB destination on June 28,2011, from a vendor to gordon were receive on july 3,2011. The invoice cost was $2,500.

What amount should gordon report as inventory on its June 30,2011, balance sheet?

a. $73,500

b. $74,000

c. $75,000

d. $76,500