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A company started the year with $10,000 of inventory. Purchases for resale during the year were $20,000. Inventory on December 31 is $5,000. What's the cost of goods sold?$5,000$10,000$25,000$30,000$35,000
A company started the year with $10,000 of inventory. Purchases for resale during the year were $20,000. Inventory on December 31 is $5,000. What's the cost of goods sold?$5,000$10,000$25,000$30,000$35,000
The cost of goods sold is $25,000. This is calculated by taking the beginning inventory of $10,000 and adding thepurchasesmade during the year ($20,000). Then, subtract the ending inventory of $5,000 from the total to get the cost of goods sold, which is $25,000.What is inventory?Inventory is an itemized list of products, materials, or supplies held in stock by a business. It is also referred to as stock or store. Businesses use inventory to maintain enough stock to meet customer demand, meet seasonality, and to plan for future growth. Inventory is typically categorized as either raw materials, work-in-progress, or finished goods. In order to manage inventory effectively,businessesuse inventory management software and other tools. This helps them to track, control, and report on their stock levels, as well as ensure that their costs and working capital are efficiently managed.To learn more aboutinventorybrainly.com/question/26533444#SPJ4...