Question

Grand Rapids Rafting Company recorded the following data for the month of October:Cost of beginning inventory $46,000Cost of ending inventory $32,000Cost of goods sold $122,000Inventory purchases for the month of October total:A)$108,000 B)$136,000 C)$200,000 D)$44,000

Answer 1

Answer: Option (A) is correct.

Step-by-step explanation:

Given that,

Data for the month of October:

Cost of beginning inventory = $46,000

Cost of ending inventory = $32,000

Cost of goods sold = $122,000

Inventory purchases in October:

= Cost of goods sold + Cost of ending inventory - Cost of beginning inventory

= $122,000 + $32,000 - $46,000

= $108,000