At the beginning of the year, Bennett Supply has inventory of $3,500. During the year, the company purchases an additional $12,000 of inventory. An inventory count at the end of the year reveals remaining inventory of $4,000. What amount will Bennett report for cost of goods sold?

Question

Business

Leroy Fuentes

17 March, 05:36

At the beginning of the year, Bennett Supply has inventory of $3,500. During the year, the company purchases an additional $12,000 of inventory. An inventory count at the end of the year reveals remaining inventory of $4,000. What amount will Bennett report for cost of goods sold?

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Answers (1)

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Jocelyn Gibson · Answer 1

Cost of goods sold is $ 11,500

Explanation:

cost of goods sold:

Opening stock: $3,500.00

Purchases: $12,000.00

Closing stock: $ 4,000.00

sales = Opening Stock+Purchases - Closing stock

= ($3500+$12,000) - 4000

$15,500-$4000 = $11,500.00

Cost of goods sold = $11,500.00