What Are the Transfers-Out from the Finished Goods Inventory Called

question 31

Multiple Choice

What are the transfers-out from the Finished Goods Inventory called?

• A) Cost of Goods Manufactured.
• B) Cost of Goods Available.
• C) Cost of Goods Completed.
• D) Cost of Goods SolD.
• When transfers occur from Finished Goods Inventory they go to Cost of Goods SolD.

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Definitions:

FOB Destination

A term specifying that the seller is responsible for the goods and the cost of shipping until they are received by the buyer at the destination.

Ending Inventory

The cumulative worth of all remaining inventory a company holds at the conclusion of a financial period.

Merchandising Business

A type of business that purchases goods for resale to customers, aiming to sell the goods at a higher price than the cost to earn a profit.

Service Business

A business providing services rather than products to customers.