Review the Inventory Costing scenario and answer the question below.

If there are no other transactions for this item, what is the effect on Cost of Goods Sold for the widgets sold?

a) $375.00

b) $0.00

c) $10.00

d) $100.00

e) $1,000.00

Select one option only and please explain

Product/Service information PP Inventory Change type Name* Widget SKU EI Category Design Initial quantity on hand 0 08/01/2018 As of date What's the as of date? Reorder point What's the reorder point? Inventory asset account Inventory Asset Sales information Widget Sales price/rate Income account 100.00 Sales of Product Income Purchasing information Widget Cost Expense account Cost of Goods Sold 37.50 Preferred Vendor Select a preferred vendor Invoice Help X BALANCE DUE Cool Cars Cool_Cars@intuit.com $1,000.00 Send later C/Bcc Billing address Terms Invoice date Due date Net 30 11/28/2018 12/28/2018 Grace Pariente Cool Cars 65 Ocean Dr. Half Moon Bay, CA 94213 Crew # # PRODUCT/SERVICE DESCRIPTION QTY RATE AMOUNT TAX 1 Design:Widget Widget 10 100 1.000.00 2 Add lines Clear all lines Add subtotal Subtotal $1,000.00 Message displayed on invoice Taxable subtotal $1,000.00 Thank you for your business and have a great day! Select a sales tax rate 0.00 Lt Discount parcont $0.00 Message displayed on statement Total $1,000.00 Balance due $1,000.00