Readers Unlimited Sells Books - What Is Cost of Goods Available for Sale?
A)$105,000

question 120

Multiple Choice

Readers Unlimited sells books.The following information summarizes the company's operating expenses for the year: $$\begin{array} { | l | c c | } \hline \text { Purchases } & \$ & 90,000 \\\hline \text { Operating expenses } & \mathbf { \$ } & 53,000 \\\hline \text { Bepinning merchandise inventary } & \mathbf { 1 } & 12,000 \\\hline \text { Ending merchandise inventory } & \mathbf { \$ } & 15,000 \\\hline \text { Sales revenue } & \mathbf { \$ } & 172,000 \\\hline\end{array}$$
- What is cost of goods available for sale?

• A)$105,000
• B)$ 82,000
• C)$ 87,000
• D)$102,000

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Definitions:

Information-Processing Model

A cognitive approach that compares the human mind to a computer, emphasizing how information is input, processed, stored, and retrieved.

Encoding

The process by which information is transformed into a form that can be stored in memory.

Retrieval

The process of accessing and bringing into consciousness information stored in memory.

Shopping List

A list of items to be purchased at a store, often used as a reminder and to organize shopping trips.