During the year, Brown Company reported cost of goods sold of $3,034.8 million. Inventory at the start of the year was $1,093.4 million and at the end of the year was $1,171.6 million. Which of the following describes the closing entry that the company will make for these accounts?

Select one:

a. None of these are correct.

b. Debit Inventory $78.2 million

c. Credit Inventory $1,171.6 million

d. Debit Cost of goods sold $1,863.2 million

e. Credit Cost of goods sold $3,034.8 million