Boston Cycles’ inventory data for the year ended December 31, 2011, follow:

Assume that the ending inventory was accidentally overstated by $2,200.
Requirement 

1. What are the correct amounts for cost of goods sold and gross profit?

Transcribed Image Text:

Sales revenue Cost of goods sold: Beginning inventory. $46,000 $5,400 Net purchases 26,700 Cost of goods available 32,100 Less: Ending inventory (3,600) Cost of goods sold 28,500 Gross profit $ 17,500