a Cost of Goods Sold b Inventory c Income Summary 200 Invent

a. Cost of Goods Sold b. Inventory c. Income Summary.. 200 Inventory.. 200 200 Cost of Goods Sold Inventory Inventory 200 200 200 d. Cost of Goods Sold. 4,500 4,500 en the physical count of Rosanna Company inventory had a cost of $4,300 at year end and the unadjusted balance in Inventory was $4,500, Rosanna will have to make following entry:

Solution

Solution: Answer is \"a\" Working Notes: a. Cost of goods sold 200 Inventory 200 At physical count we have $4,300 cost of inventory , and have unadjusted ledger balance of inventory , is $4,500 , means inventory issued $200 is not transferred from inventory to cost of goods sold , Inventory at physical count is lower as inventory is already been used but effect have not been taken in books , so inventory is debited by $200 and cost of goods sold is also charged by $200 as it is also lesser charged by $200. After this entry Inventory in books is adjusted and balanced as it is in physical form. Please feel free to ask if anything about above solution in comment section of the question.