Answer:
Cost of goods purchased= $82,000
Explanation:
Giving the following information:
Last month the company's cost of goods sold was $84,000. The company's beginning merchandise inventory was $20,000 and its ending merchandise inventory was $18,000.
We know that:
Cost of goods purchased= cost of goods sold + ending inventory - beginning inventory
Cost of goods purchased= 84,000 + 18,000 - 20,000= 82,000
Answer:
$82,000
Explanation:
The movement or change in the inventory value at the start and end of a given period is due to the purchases and sales made during the period.
While the sales reduces the inventory balance, the purchases ( which when added to purchases gives the goods available for sale) increases the inventory balance.
let the amount of the company's purchases be h
$20,000 + h - $84,000 = $18,000
h = $82,000
The company's purchases for the month amounts to $82,000
