Question

The cash sales for the day, according to the cash register records, totaled $8,356, including sales tax of $473. The actual cash received from cash sales was $8,389. Cost of goods sold related to these sales was $3,360.

Answer 1

The cost of goods sold related to the cash sales is $3,360 because this is the amount of the inventory that was used to produce the products sold in the cash sales. It is calculated by subtracting the gross sales (including sales tax) from the cash received. In this case, $8,389 - $8,356 = $33. This is the amount of cash that was used to purchase inventory to produce the products that were sold in the cash sales. Therefore, the cost of goods sold related to the cash sales is $3,360.