Question

Firework sales for the month total $195,800. The cost of the units sold is $114,500. Record the cost of goods sold.

Answer 1

To record the cost of goods sold, subtract the cost of units sold from the total sales revenue.

Step-by-step explanation:

To record the cost of goods sold, we subtract the cost of the units sold from the total sales. In this case, the cost of goods sold is $114,500, which can be found by subtracting the cost of units sold from the total sales revenue of $195,800.

Cost of Goods Sold = Total Sales Revenue - Cost of Units Sold

Cost of Goods Sold = $195,800 - $114,500
Cost of Goods Sold = $81,300