Vaden Company Uses the Periodic Inventory System Calculate the Company's Cost of Goods Sold for 2013

question 40

Essay

Vaden Company uses the periodic inventory system.The data presented below is from the company's accounting records for the year ended December 31,2013:
$\begin{array}{ll}\text { Sales } & \$ 600,000 \\\text { Sales discounts } & 10,000 \\\text { Purchases } & 350,000 \\\text { Purchase returns } & 5,000 \\\text { Beginning inventory } & 30,000 \\\text { Endinginventory } & 40,000 \\\text { Operating expenses } & 150,000 \\\text { Transportation-in } & 10,000 \\\text { Beginning retained earnings } & 71,000\end{array}$ Calculate the company's cost of goods sold for 2013.

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Definitions:

Compounded Monthly

Compounding monthly refers to the addition of interest to the principal sum of a loan or deposit, calculated on a monthly basis, which results in earning interest on interest.

Mortality Table

A table that lists death rates according to age groups.

Mortality Table

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Social Security Taxes

Taxes levied on both employers and employees to fund the Social Security program, which provides retirement, disability, and survivorship benefits.