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Which of the Following Equations Is Correct

Question 2

Multiple Choice

Which of the following equations is correct?


A) Purchases + Change in inventory (ending - beginning) = Cost of merchandise sold
B) Purchases = Change in inventory (ending - beginning) + Cost of merchandise sold
C) Purchases = Change in inventory (ending - beginning) - Cost of merchandise sold
D) Purchases = Change in inventory (ending - beginning) /Cost of merchandise sold

Correct Answer:

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