This amount does not change during the period and is added to purchases when computing the cost of goods available for sale.

Question

Quizplus · Accepted Answer

Beginning inventory is the amount of inventory on hand at the beginning of the period and is added to purchases when computing the cost of goods available for sale. Ending inventory is the amount of inventory on hand at the end of the period and is subtracted from the cost of goods available for sale to determine the cost of goods sold. Periodic inventory refers to the method of inventory accounting where inventory is counted periodically. Freight-in refers to the cost of shipping and freight charges on incoming goods, which is added to the cost of the inventory.

This Amount Does Not Change During the Period and Is