Use the Information Below to Answer the Following Questions -The Amount of Inventory Purchased During the Year Was:
A)

question 48

Multiple Choice

Use the information below to answer the following questions:
$\begin{array}{lr}\text { Inventory } 1 \text { July } 2011 & 20000 \\ \text { Inventory 30 June 2012 } & 30000 \\ \text { Accounts payable 1 July 2011 } & 38000 \\ \text { Accounts payable 30 June 2012 } & 47000 \\ \text { Cost of goods sold } & 500000\end{array}$
-The amount of inventory purchased during the year was:

• A) $490 000
• B) $500 000
• C) $510 000
• D) $520 000.

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Definitions:

Net Pay

The amount of an employee's salary that remains after deducting taxes and other statutory deductions.

Gross Pay

The total amount of an employee's earnings before any deductions or taxes are applied.

Federal Income Tax

The federal government's imposition of a financial charge on the yearly profits of individuals, corporations, trusts, and different legal organizations.

FICA Base Limit

The maximum amount of earnings subject to the Social Security portion of the Federal Insurance Contributions Act tax in a given year.