Given the Following Information, Calculate the Adjusted Net Cost of Sales

Multiple Choice

Given the following information, calculate the adjusted net cost of sales. $\begin{array}{lc}\text { Beginning Inventory } & \$ 80,000 \\\text { Purchases } & \$ 40,000\\\text { Food Transfers } & \$ 1,000 \\\text { Employee Meals } & \$ 250 \\\text { Ending Inventory } & \$ 60,000\end{array}$

A) $40,000
B) $58,750
C) $60,000
D) $61,250