Seles Hardware reported cost of goods sold as follows:

Seles made two errors:
1. 1998 ending inventory was overstated by \(\$ 4,000\).
2. 1999 ending inventory was understated by \(\$ 3,000\).
\section*{Instructions}
Compute the correct cost of goods sold for each year.

Transcribed Image Text:

Beginning inventory Cost of goods purchased Cost of goods available for sale Ending inventory Cost of goods sold 1998 $ 20,000 1999 $ 30,000 150,000 175,000 170,000 205,000 30,000 35,000 $140,000 $170,000