Quiz 8 - 1. Whenusingaperpetualinventorysystem,...

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1.   When using a perpetual inventory system,    Student Response Value Correct Answer Feedback A. no Purchases  account is used.      B. a Cost of Goods Sold  account is used.      C.  two entries are  required to record a  sale.      D.  all of these. 100%       Score: 1/1    2.   Goods in transit which are shipped f.o.b. shipping point should be    Score: 1/1    3.
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  Belle Co. received merchandise on consignment. As of March 31, Belle had recorded the transaction as a  purchase and included the goods in inventory. The effect of this on its financial statements for March 31 would  be    Score: 1/1    4.   In a period of rising prices, the inventory method which tends to give the highest reported inventory is    Score: 1/1    5.   Northwest Fur Co. started 2009 with $94,000 of merchandise inventory on hand. During 2009, $400,000 in  merchandise was purchased on account with credit terms of 1/15, n/45. All discounts were taken. Purchases  were all made f.o.b. shipping point. Northwest paid freight charges of $7,500. Merchandise with an invoice 
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amount of $5,000 was returned for credit. Cost of goods sold for the year was $380,000. What is ending 
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This note was uploaded on 12/12/2010 for the course ACCT 121A taught by Professor He during the Spring '10 term at San Jose State University .

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Quiz 8 - 1. Whenusingaperpetualinventorysystem,...

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