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25 February, 21:21

Zhang company reported cost of goods sold of $842,000, beginning inventory of $38,600 and ending inventory of $47,000. the average inventory amount is:

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  1. 25 February, 21:25
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    Given:

    Beginning inventory = $38,600

    Ending inventory = $47,000

    To find: average inventory amount

    Solution:

    Average inventory = (Beginning inventory + Ending inventory) / 2

    ($38,600+$47,000) / 2 = $42,800

    Average inventory amount = $42,800
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