Hoover Company had beginning inventory of $15,000 at March 1, 2014. During the month, the company made purchases of $55,000. The inventory at the end of the month is $17,300. What is cost of goods sold for the month of March?
A) $52,700
B) $55,000
C) $70,000
D) $72,300

Question

Quizplus · Accepted Answer

Cost of Goods Sold (COGS) is calculated as: Beginning Inventory + Purchases - Ending Inventory. Therefore, COGS = $15,000 + $55,000 - $17,300 = $52,700.

Hoover Company Had Beginning Inventory of $15,000 at March 1