TNT Inc. had an inventory balance of $19,000 on January 1, and $23,500 on December 31. The cost of goods sold during the period was $25,250. What is the purchase amount?

Question

Quizplus · Accepted Answer

The purchase amount can be calculated using the formula: Beginning Inventory + Purchases - Ending Inventory = Cost of Goods Sold. Plugging in the given values: $19,000 + Purchases - $23,500 = $25,250. Solving for Purchases gives us $29,750.

TNT Inc Had an Inventory Balance of $19,000 on January 1