Assuming That Net Cost of Purchases Was $39,000 During the Year

question 150

Multiple Choice

Assuming that net cost of purchases was $39,000 during the year and that ending merchandise inventory was $1,000 less than the beginning merchandise inventory of $12,500,how much was cost of goods sold?

• A)$50,500
• B)$52,500
• C)$40,000
• D)$38,000

---

Definitions:

Alarm Reaction Stage

The initial stage of the General Adaptation Syndrome, involving the body's immediate reaction to stress, including the release of stress hormones.

Formal Operational Stage

Piaget’s fourth stage, characterized by abstract logical thought and deduction from principles.

Adrenal Medulla

The inner part of the adrenal gland that secretes adrenaline and noradrenaline, hormones involved in the body's fight-or-flight response.

General Adaptation Syndrome

A three-phase response pattern to chronic stress, including alarm, resistance, and exhaustion stages, as identified by Hans Selye.