You are given the following information on Acme Company, a merchandising company:

Sales revenue $100,000 Beginning inventory $10,000

Purchases 50,000 Ending inventory 7,000

Freight in 2,000

Calculate Acme's cost of goods sold.

Select one:

a.

$55,000

b.

$52,000

c.

$50,000

d.

$49,000

e.

$53,000