Gump Supplies has the following information: An inventory count taken at year end indicates that inventory with a cost of $56,000 is on hand as of December 31, 2010. Assume that inventory purchases and transportation-in are both reflected in the inventory account, which shows an ending balance of $59,000. What is the amount of the cost of goods sold?
a. $123,300
b. $83,300
c. $60,700
d. $100,700

Question

Gump Supplies has the following information:  An inventory count taken at year end indicates that inventory with a cost of $56,000 is on hand as of December 31, 2010. Assume that inventory purchases and transportation-in are both reflected in the inventory account, which shows an ending balance of $59,000. What is the amount of the cost of goods sold? 
a. $123,300
b. $83,300
c. $60,700
d. $100,700

Quizplus · Accepted Answer

The Answer of Gump Supplies has the following information:  An inventory count taken at year end indicates that inventory with a cost of $56,000 is on hand as of December 31, 2010. Assume that inventory purchases and transportation-in are both reflected in the inventory account, which shows an ending balance of $59,000. What is the amount of the cost of goods sold? 
a. $123,300
b. $83,300
c. $60,700
d. $100,700

Gump Supplies Has the Following Information: an Inventory Count