Question

How to find the cost of goods sales in comparative statements?

Answer 1

Answer:

Cost of goods sold = Opening inventory + Net purchases + Direct expenses - Closing inventory

or

Cost of goods sold = Cost of materials consumed + Purchases of stock-in-trade + Changes in inventories of finished goods, work in progress and Stock-in-trade + Direct expenses

(If direct expenses are not given, assume them to be nil.)

hope it helps..