A company begins the year with an inventory of $46,000 and ends the year with an inventory of...
Question:
A company begins the year with an inventory of $46,000 and ends the year with an inventory of $60,000. During the year, the following amounts are recorded:
| Purchases | $230,000 |
| Purchase returns | 23,000 |
| Purchase discounts | 12,000 |
| Freight-in | 33,000 |
Calculate the cost of goods sold for the year.
Income Statement Expenses:
The revenue expenses are reported on the income statement, including the cost of goods sold(to derive gross profit), operating expenses (to derive the operating income), and non-operating expenses (to derive the earnings before taxes).
Answer and Explanation: 1
Become a Study.com member to unlock this answer! Create your account
View this answer
The cost of goods sold equals $214,000.
We can compute the cost of goods available for sale using the following equation:
- Cost of goods available...
See full answer below.
Ask a question
Our experts can answer your tough homework and study questions.
Ask a question Ask a questionSearch Answers
Learn more about this topic:
Get access to this video and our entire Q&A library
Cost of Goods Sold (COGS) vs. Expense
from
Chapter 12 / Lesson 8
22K
What is the cost of goods sold? Learn about the cost of sales vs cost of goods sold, cost of goods sold vs expense, and the difference between cost and expense.
Related to this Question
- A company begins the year with an inventory of $43,000 and ends the year with an inventory of $60,000. During the year, the following amounts are recorded: Purchases $ 240,000 Purchase returns 26,000 Purchase discounts 14,000 Freight-in 34,000 Calculate t
- A company begins the year with inventory of $42,000 and ends the year with inventory of $58,000. During the year, the following amounts are recorded: Purchases $ 220,000 Purchase returns 22,000 Purcha
- A company provided the following data: Sales $540,000 Beginning inventory $44,000 Ending inventory $49,000 Gross profit $186,000 What was the amount of inventory purchased during the year?
- A company provided the following data: sales, $500,000; beginning inventory, $40,000; ending inventory, $45,000; and gross profit, $150,000. What was the amount of inventory purchased during the year?
- The following amounts were obtained from the accounting records of Enderle Company. Compute the beginning inventory for the year 2015. | | 2015 | Beginning inventory | | Net purchases | $91,820 | Ending inventory | $42,350
- The following amounts were obtained from the accounting records of Enderle Company. Compute the beginning inventory for the year 2014. | | 2014 | Beginning inventory | | Net purchases | $83,300 | Cost of goods sold | $90,800
- Assume that a company had a beginning inventory f $780,000, ending inventory of $350,000 during the year. During the year the company had sales of $1,250,000 and the gross margin is 42%. Calculate: a) Purchases b) CDGS c) Goods available for sale
- A company has a beginning inventory of $60,000 and purchases during the year of $120,000. The beginning inventory consisted of 2,000 units and 8,000 units were purchased during the year. The company has 5,000 units left at year-end. Under average-cost, wh
- A company using the periodic inventory system has the following account balances: Inventory at the beginning of the year, $4,118; Freight-In, $559; Purchases, $13,635; Purchases Returns and Allowances, $3,824; Purchases Discounts, $443. The cost of mercha
- Assume that a company had a beginning inventory of $780,000, ending inventory of $350,000 during the year. During the year the company had sales of $1,250,000 and gross margin is 42%. Calculate: A) Purchases B) COGS C) Goods available for sale D) Gross Pr
- A company's projected inventory purchase for the year are listed below. 50% of the purchase is paid in the month of purchase, 30% is paid in the month following the purchase and, 20% is paid in the second month following the purchase. How much will be pai
- At the beginning of the year, Bryers Incorporated reports an inventory of $6,300. During the year, the company purchases additional inventory for $21,300. At the end of the year, the cost of inventory remaining is $8,300. Calculate the cost of goods sold
- Inventory at the beginning of the year cost $12,400. During the year, the company purchased (on account) inventory costing $79,000. Inventory that had cost $75,000 was sold on account for $91,000. At the end of the year, inventory was counted and its cost
- Inventory at the beginning of the year cost $13,200. During the year, the company purchased (on account) inventory costing $83,000. Inventory that had cost $79,000 was sold on account for $94,200. At the end of the year, inventory was counted and its cost
- The following amounts were obtained from the accounting records of Enderle Company. Compute the net purchases for the year 2013. | | 2013 | Beginning inventory | $35,700 | Ending inventory | 42,100 | Cost of goods sold | 83,500
- A company using the periodic inventory system has the following account balances: Merchandise Inventory at the beginning of the year, $3,600; Freight-In, $650; Purchases, $10,700; Purchases Returns and Allowances, $1,950; Purchases Discounts, $330. The co
- A company had a beginning inventory of $500,000. It made purchases of $1,500,000 and had cost of sales of $1,200,000. What was its inventory turnover?
- A company's beginning inventory balance was $450,000. It had Total sales of 1350000. Inventory purchases during the period were $300,000. During the year, the company paid $275,000 of the $300,000. Gross profit was $600,000. What was the company's good a
- Your company sells $469,300 of goods during the year that have a cost of $398,600. Inventory was $29,783 at the beginning of the year and $34,038 at the end of year 3. What is the inventory turnover r
- A company just starting a business made the following four inventory purchases in May: May 1 - 130 units totaling $390; May 10 - 200 units totaling $650; May 15 -200 units totaling $700; and May 28 - 170 units totaling $680. A physical count of inventory
- During the year, TRC Corporation has the following inventory transactions. Date Transaction Number of Units Unit Cost Total Cost Jan. 1 Beginning inventory 44 $36 $1,584 Apr. 7 Purchase 124 38 4,712 Jul. 16 Purchase 194 41 7,954 Oct. 6 Purchase 104 42 4,3
- A company's projected inventory purchase for the year are listed below. 30% of the purchase is paid in the month of purchase, 50% is paid in the month following the purchase, 20% is paid in the second month following the purchase. How much will be paid in
- A company's projected inventory purchase for the year are listed below. 35% of the purchase is paid in the month of purchase, 35% is paid in the month following the purchase, 30% is paid in the second month following the purchase. How much will be paid in
- Market Company begins the year with $200,000 of goods in inventory. At year-end, the amount in inventory has increased to $230,000. Cost of goods sold for the year is $1,600,000. Compute Market's inventory turnover and days' sales in inventory. Assume tha
- Tee Company had a beginning inventory of $20,000 and an ending inventory of $24,000. Net sales were $160,000; purchases, $80,000; purchase returns and allowances, $5,000; and freight-in, $6,000. Cost of goods sold for the period is: a. $69,000. b. $49,00
- Inventory, at the beginning of the year, cost $13,500. During the year, the company purchased (on account) inventory, costing $84,500. Inventory that had cost $80,500 was sold, on account, for $95,400
- 1) Inventory at the beginning of the year cost $13,400. During the year, the company purchased (on account) inventory costing $84,000. Inventory that had cost $80,000 was sold on account for $95,000.
- Inventory at the beginning of the year cost $13,000. During the year, the company purchased (on account) inventory costing $82,000. Inventory that had cost $78,000 was sold on account for $93,400. At
- During the year, TRC Corporation has the following inventory transactions. Number of Units 50 130 200 110 Unit Cost Date Jan. 1 Apr. 7 Jul. 16 Oct. 6 Transaction Beginning inventory Purchase Purchase
- A company uses the periodic method and has the following account balances. Purchase Returns = $19,000 Purchases = $812,000 Purchase Discounts = $8,000 Beginning Inventory = $21,000 Freight-In = $30,000 Ending Inventory = $37,000 What is the company's cost
- During the year, TRC Corporation has the following inventory transactions: Date Transaction Number of Unit Unit Cost Total Cost Jan. 1 Beginning Inventory 51 $43 $2,193 Apr. 7 Purchase 131 45 5,895 Jul. 16 Purchase 201 48 9,648 Oct. 6 Purchase 111 49 5,4
- Consider the following facts: Company A's accounting records at the end of the year shows the following: Purchase Discounts, $5,600; Freight In, $7,800; Purchases, $201,000; Beginning Inventory, $23,5
- A company had a beginning inventory value of $500,000. It made purchases of $1,500,000 and had cost of sales of $1,200,000. What was its inventory turnover? a. 1.5 b. 1.85 c. 2.31 d. 3.0
- A company just starting a business made the following four inventory purchases in May: May 1 - 130 units totaling $390; May 10 - 200 units totaling $650; May 15 -200 units totaling $700; and May 28 - 170 units totaling $680. A physical count of invento
- A company uses the weighted-average method of inventory valuation under a periodic inventory system. The company began the year with a zero inventory balance. They had the following transactions during the year. Purchased 65 units at $6 per unit Purchase
- The following amounts were obtained from the accounting records of Enderle Company. Compute the ending inventory for the year 2014. | | 2014 | Net purchases | $83,300 | Ending inventory | | Cost of goods sold | $90,800
- A company begins 20X4 with merchandise costing $69,000. Sales are $233,000, purchases are $198,000, and ending inventory is $81,000. What is the company's cost of goods sold? a. $186,000 b. $210,000 c. $221,000 d. $245,000
- During the year, TRC Corporation has the following inventory transactions: Date Transactions Number of Units Unit Cost Total Cost Jan. 1 Beginning Inventory 42 $34 $1,428 Apr. 7 Purchase 122 $36 $4,392 Jul. 16 Purchase 192 $39 $7,488 Oct. 6 Purchase 102 $
- At the end of Company A's fiscal year on December 31, 2007, these accounts appeared in its adjusted trial balance. Freight-in $5,600 Merchandise Inventory (beginning) 40,500 Purchases 446,000 Purchase Discounts 12,000 Purchase Returns and Allowance 6,400
- During the year, TRC Corporation has the following inventory transactions. Date Transaction Number of Units Unit Cost Total Cost Jan. 1 Beginning Inventory 54 $46 $2,484 Apr. 7 Purchase 134 48 6,432 J
- 1. A company sells inventory costing $180,000 to its customers for $300,000 in Year One. In the following year, inventory costing $275,000 is bought and sold for $500,000. The company reports its sale
- A company had purchased inventory for $96,000. Purchases Returns and Allowances were $2,000 and Freight In was $4,000. If the beginning inventory was $50,000 and the ending inventory was $40,000, the cost of merchandise sold is A) $108,000 B) $88,000
- Electronic Company began the year with an inventory of $55,800 and purchased $277,000 of goods during the year. Sales for the year are $476,000, and Electronic's gross profit percentage is 45% of sales. Compute the estimated cost of ending inventory by th
- A company just starting business made the following four inventory purchases in May: May 1 - 130 units totaling $390; May 10 - 200 units totaling $650; May 15 -200 units totaling $700; and May 28 - 170 units totaling $680. A physical count of inventory o
- At the beginning of the year, Hunt Company had an inventory of $750,000. During the year, the company purchased goods costing $2,400,000. If Hunt Company reported an ending inventory of $900,000 and sales of $3,750,000, the company's cost of goods sold an
- Montoure Company uses a perpetual inventory system. It entered into the following calendar-year 201 purchases and sales transactions Jan. 1 Beginning inventory, Units Acquired at Cost: 600 units @ $45
- The following amounts were obtained from the accounting records of Enderle Company. Compute the cost of goods sold for the year 2015. | | 2015 | Net purchases | $91,820 | Ending inventory | $42,350 | Cost of goods sold |
- The following information is available for a corporation. Purchases $50,000, purchase discount $3,000, Beginning Inventory $20,000, Ending inventory $30,000. What is the cost of goods sold?
- During AdCo's first year of operations, it purchases $125,000 of inventory on account for a total of $105,000. If AdCo's ending inventory is $25,000 and sales are $150,000, what is the cost of goods sold? a. $25,000 b. $50,000 c. $75,000 d. $100,000
- A company just starting in business purchased three merchandise inventory items at the following prices. First purchase = $80 Second purchase = $95 Third purchase = $85 If the company sold two units for a total of $240 and used FIFO costing, what would th
- A company reports the following beginning inventory and purchases and ends the period with 30 units in inventory. Compute ending inventory using perpetual FIFO. Beginning inventory 100 units at $10 cost per unit Purchase 1 40 units at $12 cost per unit Pu
- A company just starting in business purchased three merchandise inventory items at the following prices. First purchase = $80 Second purchase = $95 Third purchase = $85 If the company sold two units for a total of $290 and used FIFO costing, the gross pro
- A company had a beginning inventory of 93 units of Product RST at a cost of $8 per unit. During the year, purchases were: Feb. 20 603 units at $9 Aug. 12 409 units at $11 May 5 540 units at $10 Dec. 8
- Bufford Corporation had reported the following amounts at December 31, 2012: Sales revenue $184,000; ending inventory $11,600; beginning inventory $17,200; purchases $60,400; purchase discounts $3,000; purchase returns and allowances $1,100; freight-in $6
- A company has a beginning inventory of $10,500, purchases of $5,500, and an ending inventory of $2,500. The cost of goods sold is the Cost of goods sold _____.
- Assume a company uses the periodic inventory system and has a beginning merchandise inventory balance of $5,000, inventory purchases for the year of $75,000, and sales for the year of $125,000. What is the amount of the company's Cost of Goods Available f
- Montoure Company uses a periodic inventory system. It entered into the following calendar-year 2015 purchases and sales transactions. Date Activities Units Acquired at Cost Units Sold at Retail Jan.1- Beginning inventory 690units@ $80.00 per unit Feb.10
- Zlad Company had a beginning inventory on January 1 of 150 units of product 4-18-15 at a cost of $20 per unit. During the year, the following purchases were made : Mar 15 - 400 units at $23 ; July 20
- Hall Company has the following merchandise account balances: Sales Revenue $180,000, Sales Discounts $2,000, Purchases $120,000, and Purchases Returns and Allowances $30,000. In addition, it has a beginning inventory of $40,000 and an ending inventory of
- Sandhill Company lost most of its inventory in a fire in December just before the year-end physical inventory was taken. Corporate records disclose the following. Inventory (beginning) $79,700 Sales revenue $414,200 Purchases 285,800 Sales returns 21,400
- A company reports the following beginning inventory and purchases for the month of January. On January 26, the company sells 360 units. Units Unit Cost Beginning inventory on January 1 320 $6.00 Purchase on January 9 85 6.40 Purchase on January 25 110 6.6
- A company had the following purchases and sales during its first year of operations: On December 31, there were 26 units remaining in ending inventory. Using the Periodic LIFO in goods sold? (Assume a
- Compute the cost of goods sold from the following information: \\ *Beginning Inventory, $30,000; *Purchases, $70,000; *Purchase Returns, $3,000; *Ending Inventory, $34,000.
- A company using the periodic inventory system has the following account balances: Merchandise Inventory at the beginning of the year, $4,000 Transportation In, $450 Purchases, $12,000 Purchases Return
- Clean Lake Corporation's accounting records show the following at year-end December 31, 2017: Purchase Discounts $5,900 Beginning Inventory $31,720 Freight-In 8,400 Ending Inventor 27,950 Freight-Out 11,100 Purchase Returns and Allowances 3,600 Purchases
- Consider the information below regarding the cost of goods sold for Company N. Calculate the amount of purchases. | Beginning inventory | $944 | Purchase returns and allowances | 391 | Net purchases | 9,989 | Cost of goods purchased | 10,851 | Ending in
- Your firm has sales of $628,000 and cost of goods sold of $402,000. At the beginning of the year, your inventory was $31,000. At the end of the year, the inventory balance was $33,000. What is the inventory turnover rate? a) 11.23 times b) 12.56 times c)
- The beginning inventory of company X was 200 units at $45 per unit. During the year, they made two batch purchases. The first was a 300 unit purchase at $50 per unit; the second was a 350 unit purchase at $52 per unit. They sold 800 units. What is the am
- A company's beginning inventory is $20,000, purchases for a period are $240,000, and ending inventory is $30,000. How much is the cost of goods sold?
- Calculate the Cost of Goods Sold under periodic method from the following information: Sales 58,450 Sales Return 395 Purchases 35,975 Purchase Discount 3,590 Beginning Inventory 18,780 Gross Mar
- In its first month of operations, Quirk Company made three purchases of merchandise in the following sequence: (1) 300 units at $6, (2) 400 units at $7, and (3) 200 units at $8. Assume there are 360 units on hand. Compute the cost of the ending inventory
- At the beginning of the year, Super Company has inventory of $4,500. During the year, the company purchased additional inventory of $12,000. An inventory count at the end of the year indicated ending inventory of $3,100. What amount will Super Company rep
- A company, which uses the periodic method, is preparing its year-end journal entry to record cost of goods sold. It debits all of the following accounts except: a. Beginning Inventory b. Cost of Goods Sold c. Purchase Discounts d. None of the above
- A company purchased $210 in supplies during the year, recorded $120 in Supplies Expense, and ended with $350 of supplies. What was the beginning balance of Supplies?
- Consider the following information for a particular company. Determine the amount of Purchases. | Beginning inventory | $35,400 | Ending inventory | $22,000 | Purchases | ? | Cost of goods sold | $654,700
- Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions. Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 700 units@ $50 per unit Feb. 10 Purc
- A company made the following merchandise purchases and sales during the month of May: There was no beginning inventory. a) If the company uses the LIFO periodic inventory method, then what would be
- A company reported the following information for its most recent year of operation. Purchases, $300,000; Beginning inventory, $20,000; and Cost of Goods Sold, $10,000. How much was the company's ending inventory?
- Beginning inventory is $28,000. Purchases for the year are $110,000. Sales revenues are $180,000. The company's normal gross profit percentage is 60%. How much is the estimated ending inventory? A. $30,000 B. $246,000 C. $66,000 D. $72,000
- A company uses the weighted average method of inventory valuation under a periodic inventory system. It began the year with a zero inventory balance. It had the following transactions during the year: | Purchased 65 units at AED 7 per unit | Purchased 13
- Company has a sales budget for next month of $450,000. Cost of goods sold is expected to be 50 percent of sales. All goods are paid for in the month following purchase. The beginning inventory of me
- For the current fiscal year, Purchases were $340,000, Purchase Returns and Allowances were $9,800, Purchase Discounts were $3,800 and Freight In was $48,000. If the beginning merchandise inventory was $69,500 and the ending merchandise inventory was $94,0
- For the current fiscal year, Purchases were $245,000, Purchase Returns and Allowances were $8,600, Purchase Discounts were $2,200 and Freight In was $32,000. If the beginning merchandise inventory was $60,000 and the ending merchandise inventory was $75,0
- For the current fiscal year, Purchases were $300,000, Purchase Returns and Allowances were $9,000, Purchase Discounts were $3,000 and Freight In was $40,000. If the beginning merchandise inventory was $65,500 and the ending merchandise inventory was $86,0
- For the current fiscal year, Purchases were $265,000, Purchase Returns and Allowances were $8,300, Purchase Discounts were $2,300 and Freight In was $33,000. If the beginning merchandise inventory was $62,000 and the ending merchandise inventory was $79,0
- For the current fiscal year, Purchases were $310,000, Purchase Returns and Allowances were $9,200, Purchase Discounts were $3,200 and Freight In was $42,000. If the beginning merchandise inventory was $66,500 and the ending merchandise inventory was $88,
- O'Daniel Company had beginning inventory on May 1 of $12,000. During the month, the company made purchases of $40,000 but returned $2,000 of goods because they were defective. At the end of the month, the inventory on hand was valued at $15,500. Calculate
- Based on the following information provided about a company's operations, calculate its cost of goods purchased and its cash paid for the merchandise. Cost of good sold $413,000 Merchandise Inventory, beginning year 70,000 Accounts payable, beginning year
- Assume that Tract Company uses a periodic inventory system and has these account balances: Purchases $995,000; Purchase Returns and Allowances $113,700; Purchase Discounts $58,900; Freight-In $44,400, Beginning Inventory $90,000, Net Sales $1,345,678, and
- Willis Corporation has beginning inventory $81,000; Purchases $540,000; Freight-in $16,200; Purchase Returns $5,800; Purchase Discounts $5,000; and ending inventory $70,200. Compute the cost of goods sold.
- A Company just starting a business made the following four inventory purchases in June: June 1 120 Units Purchased Cost $390 June 10 230 Units Purchased Cost $575 June 15 230 Units Purchased Cost $620 June 28 120 Units Purchased Cost $520 A physical count
- Compute the inventory turnover from the following information: Cost of goods sold $643,825 Beginning inventory $87,750 Ending inventory $97,400 Goods available for sale $750,000 A company had the fol
- Montoure Company uses a perpetual inventory system. It entered into the following calendar-year 2015 purchases and sales transactions. Date Activities Unit Acquired at Cost Units Sold at Retail Jan.
- A company purchased merchandise inventory at a cost of $8,500 with credit terms 2 10, net 60. If the company borrows $8,330 to pay for the purchase on the last day of the discount period and pays the
- During the year 2010, the inventory of D's gift shop decreased by 50,000. If the income statement for the year 2010 reported costs of goods sold of 350,000, purchases during the year must have amounted to __________.
- "Y" Company began the accounting period with $60,000 of merchandise, and the net cost of purchases was $240,000. A physical inventory showed $72,000 of merchandise unsold at the end of the period. The cost of goods sold by Y Company for the period is ____
- A company reports the following beginning inventory and purchases, and it ends the period with 30 units in inventory. Beginning inventory 100 units at $10 cost per unit Purchase 1 40 units at $12 cost per unit Purchase 2 20 units at $14 cost per u
- Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March. 033 Mar. 1 Beginning inventory 150 units @ $52.89 per unit Mar. 5 Purchase 250 u
- Endor Company begins the year with $150,000 of goods in inventory. At the year-end, the amount in inventory has increased to $180,000. The cost of goods sold for the year is $1,200,000. Compute Edidor
- If a company's Cost of goods sold is $161,000 for the period, beginning and ending Inventory balances are $19,500 and $14,500, respectively, and the beginning and ending Accounts Payable balances are $26,500 and $9,000, respectively, what is the amount of
Explore our homework questions and answers library
Browse
by subject