The following information for Year 2 is taken from the accounts of Tuttle Company.The company uses the periodic inventory system.

Based on this information,what is the inventory at December 31,Year 2?

Question

The following information for Year 2 is taken from the accounts of Tuttle Company.The company uses the periodic inventory system.

Based on this information,what is the inventory at December 31,Year 2?

Quizplus · Accepted Answer

Ending inventory = Beginning inventory + Purchases - Purchase returns and allowances - Purchase discounts + Transportation-in - Cost of goods sold
Ending inventory = $16,000 + $80,000 - $1,200 - $800 + $3,200- $56,800 = $40,400

The Following Information for Year 2 Is Taken from the Accounts