Foyle Hardware reported cost of goods sold as follows.

2014 2013 Beginning inventory $ 30,000 $ 20,000 Cost of goods purchased 175,000 164,000 Cost of goods available for sale 205,000 184,000 Less: Ending inventory 37,000 30,000 Cost of goods sold $168,000 $154,000 Foyle made two errors: 1. 2013 ending inventory was overstated by $2,000. 2. 2014 ending inventory was understated by $5,000.

Instructions Compute the correct cost of goods sold for each year.

AppendixLO1