The accounting records of Greenwood Company revealed the following information: $\begin{array} { l r }
\text { Work in process inventory - Jan 1 } & \$ 58,000 \
\text { Work in process inventory - Dec } 31 & 49,000 \
\text { Finished goods inventory - Jan 1 } & 125,000 \
\text { Finished goods inventory - Dec } 31 & 158,000 \
\text { Cost of goods manufactured } & 754,000
\end{array}$ Greenwood's cost of goods sold is:

Question

The accounting records of Greenwood Company revealed the following information: $\begin{array} { l r } 
\text { Work in process inventory - Jan 1 } & \$ 58,000 \
\text { Work in process inventory - Dec } 31 & 49,000 \
\text { Finished goods inventory - Jan 1 } & 125,000 \
\text { Finished goods inventory - Dec } 31 & 158,000 \
\text { Cost of goods manufactured } & 754,000
\end{array}$ Greenwood's cost of goods sold is:

Quizplus · Accepted Answer

Cost of Goods Sold = Beginning Finished Goods Inventory + Cost of Goods Manufactured - Ending Finished Goods Inventory = $125,000 + $754,000 - $158,000 = $721,000.

The Accounting Records of Greenwood Company Revealed the Following Information