Assuming northwest uses the gross method to record


Northwest Fur Co. started 2016 with $102,000 of merchandise inventory on hand. During 2016, $560,000 in merchandise was purchased on account with credit terms of 4/15, n/45. All discounts were taken. Purchases were all made f.o.b. shipping point. Northwest paid freight charges of $7,800. Merchandise with an invoice amount of $4,700 was returned for credit. Cost of goods sold for the year was $362,000. Northwest uses a perpetual inventory system.

Assuming Northwest uses the gross method to record purchases, what is the cost of goods available for sale?

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Accounting Basics: Assuming northwest uses the gross method to record
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