Madison Manufacturing's ending inventory count was $65,000,cost of goods sold was $35,100,and purchases were $72,800,its beginning inventory must have been:
A)$42,900.
B)$172,900.
C)$102,700.
D)$27,300.

Question

Quizplus · Accepted Answer

Cost of goods sold = Beginning inventory + Purchases − Ending inventory
Beginning inventory = Cost of goods sold − Purchases + Ending inventory
= $35,100 − $72,800 + $65,000 = $27,300

Madison Manufacturing's Ending Inventory Count Was $65,000,cost of Goods Sold