Question:

Merchandise Inventory?

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For the current accounting period, the balance of purchases is 10,000, beginning inventory was 50,000, and th ending inventory is 30,000. Entries to the merchandise inventory account should be.

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  1. If only 10,000 we sold then the ending inventory is 40,000.   Seems like a trick question so i'll guess 10,000 is the answer. /

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