Dowell Hardware reported cost of goods sold as follows. Dowell made two errors: 1. 2016 ending inventory

Question:

Dowell Hardware reported cost of goods sold as follows.

Dowell made two errors:
1. 2016 ending inventory was overstated by $2,000.
2. 2017 ending inventory was understated by $5,000.
Instructions
Compute the correct cost of goods sold for each year.

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Accounting Tools for Business Decision Making

ISBN: 978-1118096895

6th edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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Question Posted: Aug 24, 2016 01:49 AM

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Dowell Hardware reported cost of goods sold as follows. Dowell made two errors: 1. 2016 ending inventory

Question:

2017 2016 Beginning inventory Cost of goods purchased Cost of goods available for sale Less: Ending inventory Cost of goods sold $30,000 20,000 164,000 184,000 30,000 $168,000 $154,000 1 175,000 205,000 37,000

Step by Step Answer:

2016 2017 Beginning inventory 20000 28000 Cost of good...View the full answer

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