Grey Enterprises had inventory on March 1 with a cost of $6,000. During March, the company purchased additional inventory at a cost of $22,000. A physical count of the inventory at March showed goods at a cost of $4,000 on hand. What was Grey Enterprises' cost of goods sold for March?

Question

Quizplus · Accepted Answer

The cost of goods sold (COGS) is calculated as: Beginning Inventory ($6,000) + Purchases ($22,000) - Ending Inventory ($4,000) = $24,000.

Grey Enterprises Had Inventory on March 1 with a Cost