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Jones Company began the year with $100 of merchandise inventory. During the year Jones purchased inventory that cost $200 and also paid $15 of freight
Jones Company began the year with $100 of merchandise inventory. During the year Jones purchased inventory that cost $200 and also paid $15 of freight costs on the purchased inventory. At the end of the year Jones Company determined that the cost of its ending inventory was $50. Given these facts Jones should report cost of goods sold totaling:
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a. $50 b. $200 c. $215 d. $250 e. $265
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