The Jackson Tool Company manufactures only tools.In 2012 Jackson Tools manufactured 20,000 tools,but sold 21,000 tools.In 2012 Jackson Tools' change in inventory was
A)-2,000 tools.
B)-1,000 tools.
C)1,000 tools.
D)3,000 tools.

Question

Quizplus · Accepted Answer

The change in inventory is calculated as the difference between the number of tools manufactured and the number of tools sold. Jackson Tools manufactured 20,000 tools and sold 21,000 tools, resulting in a decrease in inventory of 1,000 tools (20,000 - 21,000 = -1,000).

The Jackson Tool Company Manufactures Only Tools