Question

List the items below in the correct order in which they would appear in the calculation of cost of goods sold for a manufacturing company.

a. Beginning Inventory, Purchases, Ending Inventory
b. Ending Inventory, Beginning Inventory, Purchases
c. Purchases, Ending Inventory, Beginning Inventory
d. Beginning Inventory, Ending Inventory, Purchases

Answer 1

The correct order is d. Beginning Inventory, Ending Inventory, Purchases.

Step-by-step explanation:

The correct order in which the items would appear in the calculation of cost of goods sold for a manufacturing company is d. Beginning Inventory, Ending Inventory, Purchases.