On the income statement of a manufacturing company, which of the following replaces purchases in the "Cost of goods sold" section of a retail company?
A)finished goods
B)cost of merchandise available
C)cost of goods manufactured
D)work in process

Question

Quizplus · Accepted Answer

The "Cost of Goods Manufactured" replaces purchases in the "Cost of Goods Sold" section for a manufacturing company, as it represents the total cost of goods that are completed and ready for sale, unlike a retail company which purchases finished goods for resale.

On the Income Statement of a Manufacturing Company, Which of the Following