Which of the following is not included in the cost of merchandise inventory? O Purchase discounts. O Purchase returns and allowances. O Purchase price of the inventory. O Freight costs paid by the seller. O Freight costs paid by the buyer. 4 pts 0 Question 2 Sunshine Cleaning purchased $3,500 worth of merchandise. The seller offered a 2% cash discount. Transportation costs for the buyer were an additional $310. The company returned $240 worth of merchandise and then paid the invoice within the discount period. The total cost of this merchandise is: O $3.570.00. O $3,500.00 O $3,332.00 O $3,430.00. $3,504.80 Question 5 A company has not sales of $759.300 and cost of goods sold of $548.300. Its not income is $10.280. The company's gross margin and operating expenses, respectively, are: O $211.000 and $230,750 $739.550 and $191,720 O $529,020 and $230.750 O $211.000 and $191,720 $230,750 and $529,020 4 pts D D Question 5 A company has not sales of $750,300 and cost of goods sold of $548,300. Its not income is $10.280 The company's groas margin and operating expenses, respectively, arm O $211,000 and $230,750 O $739,550 and $191,720 $529,020 and $230,750 O $211.000 and $191,720 O $230.750 and $529,020 Question 6 Sales less sales discounts, less sales returns and allowances equals: Cost of Goods Sold Net Income O Net Sales O Gross Profit 4 pts 4 pts Goods in transit are included in a purchaser's inventory: O At any time during transit. O After the half-way point between the buyer and seller, When the supplier is responsible for freight charges. When the goods are shipped FOB shipping point. OIf the goods are shipped FOB destination. Question 11 The inventory costing method that smooths out erratic changes in costs is: O LCM. O FIFO. OLIFO. O Specific Identification. O Weighted average. 4 t ne 0 Question 12 Krusty Krab has the following products in its ending inventory Compute lower of cost or market for inventory. applied separately to each product Inventory by Product Product Quantity Cost per Unit 500 $ 500 $ 30 600 Scuba Masks Scuba Sults O $265,000 O $290,000. O $250,000 $268,000 O $275,000. Question 13 Market per Unit $ 550 $ 25 If equity is $368,000 and liabilities are $186,000, then assets equal: O $554,000. $922,000. $368,000. $186,000. O $182,000. 2 pts