Question

Jackson Manufacturing Company had a beginning inventory of $23,000. During the year, the company recorded inventory purchases of $125,000 and cost of goods sold of $66,000. The ending inventory must equal:

Answer 1

Answer:

$82,000

Explanation:

Jackson manufacturing company has a beginning inventory of $23,000

The recorded inventory purchases is $125,000

The cost of goods sold is $66,000

Therefore the ending inventory can be calculated as follows

= $23,000+$125,000-$66,000

= $148,000-$66,000

= $82,000