The Sam Company manufactures tools. In 2018, they manufactured 21,000 tools but sold 20,000 tools. In 2018, their change in inventory was:
Select one:
A. 1000 tools
B. -1000 tools
C. -3000 tools

A. 1000 tools

Explanation:

Sam Company manufactured 21,000 machines.

Sam Company sold 20,000 tools.

The changes in inventory = Manufactured items - Sold items

The changes in inventory = 21,000 tools - 20,000 tools.

The changes in inventory = 1,000 tools.

Since there are no beginning inventories, we cannot add it with the manufactured items. Therefore, we just deducted the sales volume from production.

whats the

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