Thompson Company Had Beginning Inventory of $6,000,cost of Goods Sold

question 16

Multiple Choice

Thompson Company had beginning inventory of $6,000,cost of goods sold of $14,000,and ending inventory of $8,000.Purchases were:

• A) $12,000.
• B) $10,000.
• C) $9,000.
• D) $16,000.

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Definitions:

Demand Curve

A graphical representation of the relationship between the price of a good or service and the quantity of it that consumers are willing to purchase at various prices.

Income

Income refers to the financial earnings someone acquires regularly either from performing work or making investments.

Optimal Consumption Bundle

A combination of goods and services that maximizes a consumer's satisfaction or utility, given their income and the prices of goods and services.

Normal Good

A type of good for which demand increases as consumers' income increases, and vice versa.