Determine the cost of purchasing furniture in transaction

Question

Problem

Imaan Home Accessories Bhd is a seller of furniture located in Dungun, Terengganu. The business purchased finished furniture from suppliers and sold it to customers around Terengganu in cash and also by credit terms. In 2021, the company purchased the following furniture from Bali, Indonesia:

                                                                                                                                      RM
Purchase price before trade discount (trade discount on invoice amount to 10%)   250,000
Import duties                                                                                                             22,000
Transportation cost                                                                                                    7,000
Storage cost                                                                                                              4,200

Task

1. Identify whether the furniture is item of inventories in accordance with MFRS 102 Inventories

2. Determine the cost of purchasing the furniture in the above transaction.