If ABC's statement of earnings showed cost of goods sold at $78,000, purchases of $80,000, freight-in at $300, purchases returns of $500 and end-of-the period inventory at
$11,900, its beginning-of-the-period-inventory must have been:
A) $9,200
B) $9,900
C) $10,100
D) $10,400

Question

Quizplus · Accepted Answer

Beginning inventory = Purchases + Freight-in - Purchases Returns - Ending Inventory= $80,000 + $300 - $500 - $11,900= $10,100

If ABC's Statement of Earnings Showed Cost of Goods Sold