Chapter 10, Problem 10.2BE

To determine

Concept Introduction:

Periodic inventory system: The system that is used to ascertain the ending inventory balance and cost of goods sold at the end of the accounting period, under this company does not reduces or adjusts the inventory balance each time when sales or purchases are made but carries out periodic adjustments usually at the end of the accounting period. To determine the cost of goods sold the unsold ending inventory is deducted from the opening balance of inventory, including the purchases during the year.

The cost of goods sold in 2022.