Fundamentals-of-Accounting-Theory-1B-1.pdf - Fundamentals...

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Fundamentals of Accounting/Answer Key Assignment 001 The merchandise inventory ______is the ratio of cost of goods sold to average merchandise inventory. Select one: a. Cost of goods sold or cost of sales b. Turnover c. Merchandise Inventory d. Sales discount It is the cost of transporting the goods from the merchandiser to the ultimate consumer. Select one: ______is a business involving buying goods and selling it in its original form. Select one: CheckIn the books of seller, ____ is deducted from the invoice price when the buyer pays earlier or on the date/term stipulated. Select one:
c. Merchandise Inventory d. Periodic Purchases of merchandise under the perpetual inventory system will be recorded by debiting _______. Select one: a. Merchandise Inventory b. Cash c. Periodic d. Sales discount Quiz 001 Following are selected purchase transactions of Mr. Cruz, a merchandiser, during April of the current year: April 8 Purchased merchandise from ABC Textile Corporation worth P 100,000, FOB Destination. Freight reported is P 15,000. Terms of payment: 2/10, n/30. April 10 Returned defective merchandise purchased on the 8th, P 10,000. April 17 Paid ABC Textile Corporation. April 20 Purchased merchandise worth P 50,000 from RST Trading. Cebu City. Transportation- in is P 5,000. Terms: FOB shipping point; Terms of payment: n/30. The shipment arrived at the Port of Manila, A April 25 Merchandise purchased from XYZ Clothing Co., P 80,000, FOB shipping point. Freight charges, P 6,500, Terms of payment: n/30. Shipment arrived at the Port of Manila on May 2. The freight that will be paid by the buyer is Select one:
Discount received by the merchandiser for paying on time Select one: On March 1, 2017, Mr. A bought 10 units of cell phones with a listed price of P 10,000 each, less 2%, 4%, for resale. Terms of payment: 2/10, n/30. Assuming Mr. A paid on March 8, 2017, he will be paying Select one: Excess of net sales over cost of goods sold Select one: a. Freight-in b. Gross Profit c. Sales d. Merchandising Discount not recorded in the seller's books Select one: On March 1, 2017, Mr. A bought 10 units of cell phones with a listed price of P 10,000 each, less 2%, 4%, for resale. Terms of payment: 2/10, n/30. The total trade discount to Mr. A. is
a. P19,616 b. P5,920 c. P2, 000 d. P3, 920 Following are selected purchase transactions of Mr. Cruz, a merchandiser, during April of the current year: April 8 Purchased merchandise from ABC Textile Corporation worth P 100,000, FOB Destination.

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