The Following Information Was Derived from the 2020 Accounting Records

question 26

Multiple Choice

The following information was derived from the 2020 accounting records of Jersey Co.: $\begin{array}{c}\begin{array}{lll}\\\\ \text {Beginning inventory}\\ \text {Purchases}\\ \text {Freight-in}\\ \text {Transportation to consignees}\\ \text {Freight-out}\\ \text {Ending inventory}\end{array}\begin{array}{c} \text {Jersey's Central Warehouse}\\\$ 260,000 \\475,000 \\15,000 \\\\25,000 \\290,000\end{array}\begin{array}{lll} \text {Jersey's Goods}\\ \text {held by consignee}\\\$ 28,000 \\90,000\\\\5,000\\8,000\\20,000\end{array}\end{array}$
Jersey's 2020 cost of sales was

• A) $563,000.
• B) $558,000.
• C) $488,000.
• D) $460,000.

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Definitions:

Blood

A fluid, circulating connective tissue that transports nutrients and other materials through the bodies of many types of animals.

Bleach

A chemical compound used to whiten or remove color through oxidation or reduction, often used for disinfection and stain removal.

Seawater

Water from the sea, which is saline in nature due to the presence of dissolved salts, minerals, and other substances.

Muscle Contraction

The process where muscle fibers shorten or tense, producing movement or force, often in response to a nerve impulse.