Thread: VERY quick Journal entry question, CoGS entry, periodic system

Hi there
Very quick question regarding the general journal adjusting entry at the end of the period for cost of good sold. Not meant to do closing entries for the accounts, just looking for the adjustment journal entry.

PERIODIC Inventory system.

Relevant accounts:
Inventory - Ending (balance sheet)
Inventory - Ending (Cost of goods sold)
Purchases

Cogs for period was $12,150, zero opening inventory, $2,750 was closing inventory.

Silly easy question, just pasing over me at this moment.

Thanks
Chris

COGS plus increase in inventory = purchases of 14,900

Solve the basic Cogs equation for the unknown to arrive at answer
Cogs = Beg Inv + Purchases - Ending Inv
therefore
Purchases = Cogs (12,150) + end inv (2,750) - Beg Inv (0)