At the beginning of September 2022, Stella Company reported Inventory of $8,000.During the month, the company made purchases of $35,600.At September 30, 2022, a physical count of inventory reported $8,400 on hand.Cost of goods sold for the month is

Question

Quizplus · Accepted Answer

The cost of goods sold (COGS) can be calculated using the formula: Beginning Inventory + Purchases - Ending Inventory. For Stella Company, this is $8,000 + $35,600 - $8,400 = $35,200.

At the Beginning of September 2022, Stella Company Reported Inventory