Retail Company reported the following amounts on its 20B income statement: Purchases,$45,000; Beginning 20B inventory,$15,000; and Cost of goods sold,$50,000.What was the 20B ending inventory?
A)$10,000
B)$25,000
C)$26,000
D)$27,000

Question

Quizplus · Accepted Answer

To find the ending inventory, use the formula: Ending Inventory = Beginning Inventory + Purchases - Cost of Goods Sold. Plugging in the values: $15,000 + $45,000 - $50,000 = $10,000.

Retail Company Reported the Following Amounts on Its 20B Income