Boles Hardware reported cost of goods sold as follows.
|
2010 |
2,009 |
|
|
Beginning inventory |
$ 30,000 |
20,000 |
|
Cost of goods purchased |
175,000 |
164,000 |
|
Cost of goods available for sale |
205,000 |
184,000 |
|
Ending inventory |
37,000 |
30,000 |
|
Cost of goods sold |
$168,000 |
154,000 |
Boles made two errors:
1. 2009 ending inventory was overstated by $6,000.
2. 2010 ending inventory was understated by $3,000.
Instructions
Compute the correct cost of goods sold for each year.