What is the closing inventory if the periodic inventory system is used?

During the last year, an organization had an opening inventory of $300,000, purchases of $980,000, sales of $1,850,000, and a gross margin of 40 percent.

What is the closing inventory if the periodic inventory system is used?
A . $170,000
B . $280,000
C . $300,000
D . $540,000

View Answer

Answer: A