The account that measures the expense of the inventory sold during the period is called:

Question

Quizplus · Accepted Answer

Cost of sales measures the cost of the inventory that was sold during the period. Gross profit subtracts cost of sales from sales revenue to determine the profitability of the business. Purchases and cost of completed goods are related to inventory, but do not specifically measure the cost of inventory sold during the period.

The Account That Measures the Expense of the Inventory Sold