Ending merchandise inventory is not included in the calculation of cost of goods available for sale.

Name: Ending merchandise inventory is not included in the calculation of cost of goods available for sale.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Ending merchandise inventory is not considered a cost of goods sold, but rather a part of inventory that still remains at the end of the accounting period. Cost of goods available for sale only includes the beginning inventory and additional purchases made during the accounting period.

Ending Merchandise Inventory Is Not Included in the Calculation of Cost