Presented below are the components in determining cost of goods sold. Determine the missing amounts.BeginningInventory  Purchases  Cost of GoodsAvailable for Sale  EndingInventory  Cost ofgoods sold $78,000  $98,000  $enter a dollar amount (a) $enter a dollar amount (b) $118,000 $48,000  $enter a dollar amount (c) $113,000  $33,000  $enter a dollar amount (d)$enter a dollar amount (e) $108,000  $158,000  $27,000  $enter a dollar amount (f)

Question
Asked Nov 7, 2019
37 views

Presented below are the components in determining cost of goods sold. Determine the missing amounts.

Beginning
Inventory
    Purchases     Cost of Goods
Available for Sale
    Ending
Inventory
    Cost of
goods sold
 
$78,000     $98,000     $enter a dollar amount  (a)   $enter a dollar amount  (b)   $118,000  
$48,000     $enter a dollar amount  (c)   $113,000     $33,000     $enter a dollar amount  (d)
$enter a dollar amount  (e)   $108,000     $158,000     $27,000     $enter a dollar amount  (f)
check_circle

Expert Answer

Step 1

Cost of goods sold:

Cost of goods sold is the carrying value of goods sold during a particular period. Cost of goods sold plays an important role in making business decision.

 

Cost of goods available for sale:

Cost of goods available for sale is the maximum amount of goods or inventory that a company can possibly sell during the fiscal year.

Step 2

Formula for calculating:

  1. Cost of goods available for...
Cost of Goods Available for sale = Beginning inventory Purchases
Cost of Goods Sold = Cost of goods available for sale Ending Inventory
help_outline

Image Transcriptionclose

Cost of Goods Available for sale = Beginning inventory Purchases Cost of Goods Sold = Cost of goods available for sale Ending Inventory

fullscreen

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Other

Related Accounting Q&A

Find answers to questions asked by student like you

Show more Q&A add
question_answer

Q: Each of the following events describes acquiring an asset that requires a year-end adjusting entry 1...

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and s...

question_answer

Q: 13. INTERNAL CONTROL EVERGREEN CORP Evergreen Corp has recently hired a CIO with pro gressive ideas ...

A: Internal Control: Internal controls are the controls established in an organization to check the err...

question_answer

Q: Net sales revenue $280,000 Cost of goods sold 120,000 Beginning inventory 5,000 Ending invento...

A: Gross Profit is computed by subtracting the cost of goods sold from the sales revenue. Gross Profit ...

question_answer

Q: Accounts and Notes Payable On February 15, Barbour Industries buys $800,000 of inventory on credit. ...

A: Liabilities: Liabilities are the obligation of the business or amount payable by the business. Liabi...

question_answer

Q: Exercise 8-07 On December 31, 2021, when its Allowance for Doubtful Accounts had a debit balance of...

A: Click to see the answer

question_answer

Q: Direct Labor Variances Tip Top Corp. produces a product that requires 10 standard hours per unit at ...

A: a. Calculate direct labor rate variance.

question_answer

Q: Question is pinned below please answer all parts

A: Required journal entries to record the cost of 90 laptops sold on 10 May:a. Specific cost identifica...

question_answer

Q: Assignment/takeAssignmentMain.do?invoker-&takeAssignmentSessionLocator=assignment-take&inprogress-f ...

A: Step 1: Calculate the Average price unit.

question_answer

Q: Calculate PayrollBreakin Away Company has three employees-a consultant, a computer programmer, and a...

A: Gross Pay: The total amount such as salary, wages, commissions, overtime, and bonus paid by an emplo...