Sam Baker owns a business called Sams Sporting Goods. His beginning inventory as of January 1, 20--,

Question:

Sam Baker owns a business called Sam’s Sporting Goods. His beginning inventory as of January 1, 20--, was $47,000, and his ending inventory as of December 31, 20--, was $53,000. Set up T accounts for Merchandise Inventory and Income Summary and perform the year-end adjustment for Merchandise Inventory.

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...