A company starts the period with 100 computers in inventory,purchases 30 more,returns 4 of them to suppliers,and has 83 in inventory at the end of the period.Which of the following statements is true?
A)Net purchases total 26 computers.
B)Net sales total 51 computers.
C)Net sales total 26 computers.
D)Net purchases total 51 computers.

Question

Quizplus · Accepted Answer

Net purchases can be calculated as follows:

Beginning inventory + Purchases - Returns = Ending Inventory
100 + 30 - 4 = 83

Therefore, net purchases would equal 26 computers. None of the other options are correct based on the given information.

A Company Starts the Period with 100 Computers in Inventory,purchases