Accounting.... Let me try to better explain this question?

Question

Ok so if I have 60000 in sales and 6000 in beginning inventory and 36000 in murchandise purchases how do I figure out the ending inventory? Also if I have 36000 in sales and 7500 in beginning inventory and -9000 in ending inventory then how do i figure out my cost of merchandise purchases and cost of goods sold? This is what I was trying to ask I have different senarios like this with one or two different things missing and I am just not sure how to figure it out. Thanks

Ok sales is 60000
merchandise inventory beginning is 6000
Total cost of merchandise purchases is 36000 I need to figure out the ending inventory. Then I have that the cost of goods sold is 34050
I need gross profit
then i am also told that expenses are 9000 and I have to get the net income.
On other ones I have sales begining inventory and ending inventory and need merchandise purchases and gross profit. So I have all of these on each situation i have to figure up the ones that are missing. Does that make sense?

Answer 1

merchandise inventory beginning is 6000
merchandise purchases is 36000
Total merchandise available for sale is $42,000
If out of that, COGS is $34,050, then cost of goods not sold (i.e. ending inventory) is $42,000 - $34,050 = $7,950.

sales is $60,000
COGS is $34,050
Gross profit = Sales less COGS = $60,000 - $34,050 = $25,950.
Net income = Gross profit less expenses = $25,950 - $9,000 = $16,950.

Answer 2

Something is missing. In order to answer your first question, you would need to know the cost of goods sold, or the gross profit in either percent or money (so you could figure out the cost of goods sold). In your second question you would need to know either the purchases or the cost of goods sold (or be able to derive one of those numbers from some other information. There is simple no other way to do it.

Answer 3

The formula is

Beginning Inventory
Less Cost of Sales
Plus Purchases
Equals Ending Inventory

So....

$6,000 beg inv
$ less cost of goods sold (you need more info here such as a % figure that you multiple against the revenue figure of $60,000)
$36,000 plus purchases
$ equals ending inventory

Since you are provided with a sales figure, you must also be provided with a gross profit margin or something similar. Multiply that % by the sales (revenue) figure to arrive at a gross profit. Then subtract gross profit from sales (revenue) for the total cost of goods sold.

The formula for that calculation is:

Revenue
less cost of good sold
equals gross profit

Gross margin is equal to gross profit divided by revenue.