Assume the following information for Knight Ltd. for the year ended December 31, 2011: Sales
£2,250
Cost of goods manufactured for the year
1,350
Beginning finished goods inventory
450
Ending finished goods inventory
495
Selling and administrative expenses
300
What is the cost of goods sold for the year ended December 31, 2011?
A) £1,305
B) £1,605
C) £1,350
D) £1,650

Question

Quizplus · Accepted Answer

Cost of Goods Sold (COGS) = Beginning Finished Goods Inventory + Cost of Goods Manufactured - Ending Finished Goods Inventory = £450 + £1,350 - £495 = £1,305.

Assume the Following Information for Knight Ltd