Question:
Comparison of Income Statement Formats
Indicate whether each of these equations applies to a service organization (SER), a retail organization (RET), or a manufacturing organization (MANF):
1. Cost of Goods Sold =Beginning Merchandise Inventory+ Net Cost of Purchases -Ending Merchandise Inventory
2. Cost of Sales =Net Cost of Services Sold
3. Cost of Goods Sold= Beginning Finished Goods Inventory +Cost of Goods Manufactured -Ending Finished Goods Inventory