Which equation gives Cost of Food Used?

• A. Cost of Food Available minus Ending Inventory
• B. Beginning Inventory plus Purchases
• C. Ending Inventory minus Beginning Inventory
• D. Cost of Food Available plus Ending Inventory

Answer: (A)

To figure how much food was used, you look at what you had to start with plus what you bought to get the total food available for use, then subtract what’s left at the end (ending inventory). The difference is the amount actually used. So Cost of Food Used equals Cost of Food Available minus Ending Inventory, and since Cost of Food Available itself is Beginning Inventory plus Purchases, this aligns with the standard flow: starting stock plus purchases minus ending stock equals used. The other options don’t reflect this consumption calculation—they either give the total available, the change in inventory, or add ending inventory to what was available, which doesn’t measure usage.