Correct Purchase discounts are based on invoice prices less purchase returns

Correct purchase discounts are based on invoice

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Correct. Purchase discounts are based on invoice prices less purchase returns and allowances, if any. b. $240. c. $3,600. d. $1,000. e. $1,200. Feedback The correct answer is: $200. Question 3 Correct Mark 10.00 out of 10.00 Flag question Question text On a sales invoice, "2/10, n/30" means Select one: a. Pay the invoice by February 10, or November 30th. b. If paid within 2 days, take a cash discount of 10%. Otherwise, the full amount is due within 30 days. c. Pay for two items within 10 days, and the remaining items (n) within 30 days. d. If paid within 10 days, take a cash discount of 2%. Otherwise, the full amount is due within 30 days.
e. Nothing. Things like that are usually typos. Feedback The correct answer is: If paid within 10 days, take a cash discount of 2%. Otherwise, the full amount is due within 30 days. Question 4 Correct Mark 10.00 out of 10.00 Flag question Question text The major differences between unclassified and classified income statements are Select one: a. A classified income statement only has two categories—revenues and expenses. An unclassified income statement divides both revenues and expenses into operating and non- operating items. b. None of these. c. An unclassified income statement only has two categories—revenues and expenses. A classified income statement divides both revenues and expenses into operating and non-operating items. d. An unclassified income statement is made available to the public, while a classified income statement is private. e. There is no real difference. The terminology depends upon the company's industry classification. Feedback
The correct answer is: An unclassified income statement only has two categories—revenues and expenses. A classified income statement divides both revenues and expenses into operating and non-operating items. Question 5 Correct Mark 10.00 out of 10.00 Flag question Question text Gross margin percentage is calculated by Select one: a. (Net cost of sales divided by Net Sales)*100. b. (Gross margin divided by Net inventory turnover)*100. c. None of these. Correct. The formula is simply Gross margin divided by Net sales. d. (Gross margin divided by Net sales)*200 e. ((Gross margin minus non-operating expenses) divided by Gross Sales). Feedback The correct answers are: (Gross margin divided by Net sales)*200, None of these. Question 6 Partially correct Mark 5.00 out of 10.00
Flag question Question text Current liabilities are obligations that: Select one: a. (x)Are payable within one year or one operating cycle, whichever is longer. This is only half correct. Both (x) and (y) are correct. You receive half credit for this question. b. Only (y) and (z) are true. c. (y)Will typically be paid out of current assets. d. Only (x) and (y) are true. e. (z)Are payable within one year or one operating cycle, whichever is shorter. Feedback The correct answer is: Only (x) and (y) are true. Question 7 Correct Mark 10.00 out of 10.00 Flag question Question text Dividing net credit sales, or net sales, by average net accounts receivable yields: Select one: a. Asset turnover.
b. Inventory turns.

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