Damsel Ltd is a large manufacturer of car tyres.Damsel has provided the following information:
$$\begin{array} { | l | l | }
\hline \text { Sales revenue } & \$ 50,000 \
\hline \text { Beginning finished goods inventory } & 19,000 \
\hline \text { Cost of sales } & 36,000 \
\hline \text { Cost of goods manufactured } & 45,500 \
\hline
\end{array}$$
Calculate the amount of ending finished goods inventory reported in Damsel's balance sheet.

Question

Damsel Ltd is a large manufacturer of car tyres.Damsel has provided the following information:
$$\begin{array} { | l | l | } 
\hline \text { Sales revenue } & \$ 50,000 \
\hline \text { Beginning finished goods inventory } & 19,000 \
\hline \text { Cost of sales } & 36,000 \
\hline \text { Cost of goods manufactured } & 45,500 \
\hline
\end{array}$$
Calculate the amount of ending finished goods inventory reported in Damsel's balance sheet.

Quizplus · Accepted Answer

Ending finished goods inventory = Beginning finished goods inventory + Cost of goods manufactured - Cost of goods sold
= $10,000 + $94,000 - $76,500
= $28,500

Damsel Ltd Is a Large Manufacturer of Car Tyres Calculate the Amount of Ending Finished Goods Inventory Reported in Provided