Question

Monte Vista uses the perpetual inventory system. At the beginning of the quarter, Monte Vista has $39,000 in inventory. During the quarter the company purchases $9,250 of new inventory from a vendor, return $850 of inventory to the vendor, and took advantage of discounts from the vendor of $290. At the end of the quarter the balance in inventory is $31,000.
Required:
1. What is the cost of goods sold?
A. $17,250B. $17,750C. $8,000D. $16,110

Answer 1

D. 16,110

39,000+9,250=48,250
48,250-(850+290)=47,110
47,110-31,000=16,110