A company reports its 20B cost of goods sold at $20.0 billion. Its ending inventory for 20B is $1.8 billion and for 20A, ending inventory was $1.5 billion. How much inventory did the company purchase during 20B?

Question

Quizplus · Accepted Answer

The inventory purchased can be calculated using the formula: Purchases = COGS + Ending Inventory - Beginning Inventory. So, Purchases = $20.0B + $1.8B - $1.5B = $20.3B.

A Company Reports Its 20B Cost of Goods Sold at $20.0