The following information relates to the manufacturing opera

The following information relates to the manufacturing operations of the Abbra Publishing Company for the year: Beginning Ending $563,000 $626,000 Raw materials inventory The raw materials used in manufacturing during the year totaled $1.098,000. Raw materials purchased during the year amount to: Multiple Choice $1,035,00o. $972,000. $1,661,000. $472,000. $1,161,00o. Prev 6 of 10111 Next >

Solution

The correct option is E

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Cost of goods sold = Opening inventory + purchases – ending inventory

1098000 = 563000 + Purchases – 626000

Purchases = 1098000 – 563000 + 626000

                    = 1161000

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Hope that helps.

Feel free to comment if you need further assistance J