Galaxy, Inc.had the following merchandise transactions in October: $$\begin{array} { | l | r | }
\hline \text { Purchases } & \$ 80,000 \
\hline \text { Purchase returns } & 8,000 \
\hline \text { Purchase discounts } & 7,200 \
\hline \text { Transportation in } & 3,000 \
\hline
\end{array}$$ What is the total cost of merchandise purchased for Galaxy, Inc.?

Question

Galaxy, Inc.had the following merchandise transactions in October: $$\begin{array} { | l | r | } 
\hline \text { Purchases } & \$ 80,000 \
\hline \text { Purchase returns } & 8,000 \
\hline \text { Purchase discounts } & 7,200 \
\hline \text { Transportation in } & 3,000 \
\hline
\end{array}$$ What is the total cost of merchandise purchased for Galaxy, Inc.?

Quizplus · Accepted Answer

The total cost of merchandise purchased is the sum of purchases, transportation in, and purchase discounts minus purchase returns. Therefore, the total cost of merchandise purchased is $80,000 + $3,000 + $7,200 - $8,000 = $67,800.

Galaxy, Inc What Is the Total Cost of Merchandise Purchased for Galaxy