Question

Zimmer, Inc. started the month of January with beginning finished goods inventory of $20,000. The cost of goods manufactured during the month was $120,000 and the ending finished goods inventory was $50,000. What is the unadjusted cost of goods sold for January

Answer 1

Answer:

$90,000

Explanation:

Calculation to determine the unadjusted cost of goods sold for January

Using this formula

Unadjusted cost of goods sold= beginning finished inventory + cost of goods manufactured - ending finished inventory

Let plug in the formula

Unadjusted cost of goods sold= 20,000 + 120,000 - 50,000

Unadjusted cost of goods sold= $90,000

Therefore the Unadjusted cost of goods sold is $90,000