Answer:
Explanation:
using the following formulars
Net purchase = (Gross Purchase) - (purchase return) - (purchase discount) + freight-in
Beginning inventory + Net purchases = cost of goods available for sales
Cost of goods sold = cost of goods available for sale - ending inventory
for 2013 we have that
beginning inventory = cost of goods available for sale - net purchases
Net purchases = 630 - 24 - 18 + 13 = 601
2013, beginning inventory = 876- 601 = 275
Ending inventory = 876 - 627 = 249
2014,
Begning inventory = closing inventory of 2013 = 249
Cost of goods available for sale = 621 + 225 = 846
Net purchase -Cost of goods available for sale - beginning inventory = 846 - 249 = 597
Gross purchase = 597 + 15 + 30 - 32 = 610
2015
Cost of good sold = 800 - 216 = 784
Net purchase = 800 - 225 = 575
purchase discount = 585 -575 - 14 + 16 = 12
