Destiny Industries reports beginning inventory of $253,000,purchases of $556,000,and ending inventory of $195,000.What is the cost of goods sold?
A)$809,000
B)$1,345,000
C)$614,000
D)$1,062,000

Question

Quizplus · Accepted Answer

To calculate the cost of goods sold, we need to use the equation: Beginning Inventory + Purchases - Ending Inventory = Cost of Goods Sold. 
Using the numbers given, we can plug them into the equation: 
$253,000 + $556,000 - $195,000 = $614,000. 
Therefore, the cost of goods sold for Destiny Industries is $614,000. Option C is the correct answer.

Destiny Industries Reports Beginning Inventory of $253,000,purchases of $556,000,and Ending