question 14 (mandatory) (5 points) using the following information, what is the cost of merchandise sold…

question 14 (mandatory) (5 points) using the following information, what is the cost of merchandise sold? purchases $32,000 selling expense $ 960 merchandise inventory, september 1 5,700 merchandise inventory, september 30 6,370 administrative expense 910 sales 63,000 rent revenue 1,200 interest expense 1,040 $32,400 $32,670 $31,330 $38,370

question 14 (mandatory) (5 points) using the following information, what is the cost of merchandise sold? purchases $32,000 selling expense $ 960 merchandise inventory, september 1 5,700 merchandise inventory, september 30 6,370 administrative expense 910 sales 63,000 rent revenue 1,200 interest expense 1,040 $32,400 $32,670 $31,330 $38,370

Answer

Explanation:

Step1: Recall cost - of - goods - sold formula

The formula for the cost of merchandise sold is: Cost of Merchandise Sold = Beginning Merchandise Inventory + Purchases - Ending Merchandise Inventory.

Step2: Identify the values

Beginning Merchandise Inventory (September 1) = $5,700, Purchases = $32,000, Ending Merchandise Inventory (September 30) = $6,370.

Step3: Calculate the cost of merchandise sold

Cost of Merchandise Sold=$5,700 + 32,000-6,370$. First, add the beginning inventory and purchases: $5,700+32,000 = 37,700$. Then subtract the ending inventory: $37,700 - 6,370=31,330$.

Answer:

$31,330$