Using the following information, what is the amount of cost of merchandise sold?

Question

Using the following information, what is the amount of cost of merchandise sold?

Purchases

$32,000

Purchases discounts

$960

Merchandise inventory September 1

5,700

Merchandise inventory
September 30

6,370

Sales returns and allowances

910

Sales

63,000

Purchases returns and allowances

1,200

Freight In

1,040

A) 26,900

B) 20,530

C) 30,210

D)28,130

Purchases

$32,000

Purchases discounts

$960

Merchandise inventory September 1

5,700

Merchandise inventory
September 30

6,370

Sales returns and allowances

910

Sales

63,000

Purchases returns and allowances

1,200

Freight In

1,040

A) 26,900

B) 20,530

C) 30,210

D)28,130

Explanation / Answer

Merchandise inventory September 1 5,700 Purchases $32,000 Less: Purchases discounts $960 Purchases returns and allowances 1,200 Net Purchases 29,840 Total Material available for sale 35,540 Less: Merchandise inventory September 30 6,370 Add: Freight In 1,040 Cost of merchandise sold 30,210 C) 30,210

Related Questions

Navigate

• Browse (All)
• Browse U
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.