Mayacompany Reports The Following Amounts For The Year Ending On December 31 200
.MayaCompany reports the following amounts for the year ending on December 31,2004:
MerchandiseInventory,January1,2004:$70,000 CostofTransportation:$2,300
Invoice Cost of Merchandise Purchases : $195,000 Purchase Returns and Allowances: $4,650
PurchaseDiscountsReceived:$3,500 Cost of Goods Sold: $158,700
Costofmerchandise returned by customers and restored to inventory: $17,300
CalculatetheMerchandiseInventory,December31,2004.
A)
$117,750
B)
$83,150
C)
$45,150
D)
$113,150
E)
$129,450
I know the answer is A but I have no clue how or why that is the correct answer.
