Correct. Current liabilities are classified into those three categories.
The correct answer is 'True'
"Y" Company began the accounting period with $60,000 of merchandise, and net cost of purchases was
$240,000. A physical inventory showed $72,000 of merchandise unsold at the end of the period. The cost
of goods sold of Y Company for the period is:
b. None of the above.
Correct. The cost of goods sold is computed as follows: Beginning inventory $60,000 + Net cost of
purchases 240,000 = Cost of goods available for sale $300,000 - Ending inventory $72,000 = Cost of
goods sold $228,000.
The correct answer is: $228,000.