He following information was taken from the records of tinker enterprises: 2019 2018 beginning inventory $60,000 $50,000 cost of goods purchased 420,000 400,000 cost of goods available for sale 480,000 450,000 ending inventory 55,000 60,000 cost of goods sold $425,000 $390,000 the following two errors were made in the physical inventory counts: 1. 2018 ending inventory was understated by $8,000. 2. 2019 ending inventory was overstated by $4,000. compute the correct cost of goods sold for both 2018 and 2019.

2019 -  $437,000; 2018 -  $382,000

Explanation:

The computation of the correct cost of goods sold for both 2018 and 2019 is shown below:

For 2019

= Beginning inventory + Cost of goods purchased - Ending inventory

= $68,000  + $420,000 - $51,000

= $437,000

For 2018

= Beginning inventory + Cost of goods purchased - Ending inventory

= $50,000  + $400,000 - $68,000

= $382,000

In 2019

Beginning inventory = $60,000 + $8,000 = $68,000

Ending inventory = $55,000 - $4,000 = $51,000

In 2018

Ending inventory = $60,000 + $8,000 = $68,000

answer; i believe that the correct answer is ( secondary research); //

there was no passage listed but using the process of elimination i'd say it was d. the high economy would do the opposite. i don't see how low prices would affect it. high unemployment is possible but i feel d is the better answer.