Question

Which of the following are used to calculate cost of goods available for sale on the schedule of cost of goods sold?

multiple select
a. ending finished goods
b. inventory cost of goods
c. sold cost of goods
d. manufactured beginning
e. finished goods inventory

Answer 1

The items used to calculate cost of goods available for sale on the schedule of cost of goods sold include ending finished goods, inventory cost of goods, and sold cost of goods.

Step-by-step explanation:

In the schedule of cost of goods sold, the following items are used to calculate the cost of goods available for sale:

• Ending finished goods: This refers to the value of finished goods inventory at the end of the accounting period.
• Inventory cost of goods: This includes the cost of purchasing or producing the goods that are available for sale.
• Sold cost of goods: This represents the cost of goods that were sold during the accounting period.

The manufactured beginning and finished goods inventory are not directly used to calculate the cost of goods available for sale.