At the Beginning of the Year, Wildcat Athletic Had an Inventory

question 173

Multiple Choice

At the beginning of the year, Wildcat Athletic had an inventory of $300,000.During the year, the company purchased goods costing $1,200,000.If Wildcat Athletic reported ending inventory of $450,000 and sales of $1,500,000, their cost of goods sold and gross profit rate would be

• A)$750,000 and 70%
• B)$1,050,000 and 30%.
• C)$750,000 and 30%.
• D)$1,050,000 and 70%.

---

Definitions:

Requirement

A condition or qualification that must be met or complied with, such as a rule, standard, or specification.

Exceptions

Specific conditions or cases for which the general rule does not apply.

Firm Offers

In contract law, promises made by a seller to hold an offer open to a buyer for a certain period without requiring consideration.

Irrevocable Offers

Offers in a contractual context that cannot be withdrawn, revoked, or altered once made, often for a specific period of time.