Given the following transactions: Beginning Inventory \$20,000, Purchases \$15,000, Purchase Discounts \$1,000, Purchase Returns \$2,000, and COGS \$10,000, what is the ending inventory balance using a T account?

• A. \$20,000
• B. \$18,000
• C. \$22,000
• D. \$24,000

Answer: (C)