Which of the following formulae determine cost of goods sold in a retail sector company?
A)Beginning inventory - Ending inventory - Purchases = Cost of goods sold
B)Beginning inventory + Purchases + Ending inventory = Cost of goods sold
C)Beginning inventory + Purchases - Ending inventory = Costs of goods sold
D)Beginning inventory - Purchases + Ending inventory = Cost of goods sold

Question

Quizplus · Accepted Answer

The formula to determine Cost of goods sold in a retail sector company is Beginning inventory + Purchases - Ending inventory = Costs of goods sold. This formula takes into account the beginning inventory, the purchases made during the period, and the ending inventory to calculate the cost of goods sold.

Which of the Following Formulae Determine Cost of Goods Sold