Accounting for IGCSE & O level - Final Statements (Section 8 - No. 38)
What is the effect of increasing net purchases on the cost of goods sold (COGS)?
Increase COGS
Decrease COGS
No effect on COGS
Increases revenue
הֶסבֵּר
COGS are directly influenced by the cost of purchases. Increased net purchases increase COGS.