Which of the Following Formulas Represent Cost of Goods Sold

question 12

Multiple Choice

Which of the following formulas represent cost of goods sold for a merchandising business?

• A) Beginning Merchandise Inventory - Ending Merchandise Inventory = Cost of Goods Sold
• B) Purchases and Freight In + Ending Merchandise Inventory = Cost of Goods Sold
• C) Ending Merchandise Inventory + Purchases and Freight In - Beginning Merchandise Inventory = Cost of Goods Sold
• D) Beginning Merchandise Inventory + Purchases and Freight In - Ending Merchandise Inventory = Cost of Goods Sold