how to calculate finished goods inventory ending

how to calculate finished goods inventory ending involves determining the value of finished products available for sale at the end of a specific period. The formula for calculating finished goods inventory ending is:Finished Goods Inventory (Ending) = Finished Goods Inventory (Beginning) + Manufactured Goods – Cost of Goods Sold (COGS). This calculation helps businesses keep track of their inventory and manage production processes effectively. Accurate inventory tracking is essential for maintaining optimal stock levels and ensuring that goods are available for sale without overstocking or stockouts.