Beginning Inventory Was $32,000

question 7

Essay

Beginning inventory was $32,000. During the year, Yancey Company purchased goods totaling $634,000 on account with terms of 2/10, n/30, FOB shipping point. Yancey Company paid $1,000 in total freight charges directly to the freight company. At the end of the year, inventory on hand totaled $45,000. Net sales reported on the income statement for the year totaled $1,300,000.
-Refer to the information provided for Yancey Company. How much is cost of goods sold assuming that Yancey Company takes advantage of one-half of the cash discount?

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Definitions:

Cash Bonuses

Monetary awards given to employees as recognition for their performance, efforts, or achievements.

Temporary Employees

Individuals hired to work for a specific, limited period of time, often to fulfill seasonal needs, complete specific projects, or cover for regular employees who are temporarily unavailable.

Skill Based Pay

A compensation system where employees are paid based on the skills, knowledge, and abilities they apply in their work.

Organization's Performance

The overall effectiveness and achievement of a company's objectives, often evaluated through financial, operational, and strategic metrics.