Cost of goods sold is $108,000, ending inventory is $12,000 and purchases is $100,000. What is beginning inventory?

Name: Cost of goods sold is $108,000, ending inventory is $12,000 and purchases is $100,000. What is beginning inventory?
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Question

Quizplus · Accepted Answer

The formula to calculate beginning inventory is: Beginning Inventory = Cost of Goods Sold + Ending Inventory - Purchases. Plugging in the given values: $108,000 + $12,000 - $100,000 = $20,000.

Cost of Goods Sold Is $108,000, Ending Inventory Is $12,000