When there is a net profit in a merchandising entity, which of the following accounts may not be credited in the closing entry? O Capital O Income Summary O Transportation Out O Purchases Discounts
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- What accounts are used to recognize a retailers purchase from a manufacturer on credit? A. accounts receivable, merchandise inventory B. accounts payable, merchandise inventory C. accounts payable, cash D. sales, accounts receivableWhich of the following accounts are used when recording a purchase using a periodic inventory system? A. cash, purchases B. accounts payable, sales C. accounts payable, accounts receivable D. cash, merchandise inventoryWhich of the following is an example of a contra revenue account? A. sales B. merchandise inventory C. sales discounts D. accounts payable
- In accountinf for sales discounts, most companies use the a. Allowance method b. Gross price method c. Discounted price method d. Net price methodWhich of the following accounts are used when recording the sales entry of a sale on credit?A. merchandise inventory, cashB. accounts receivable, merchandise inventoryC. accounts receivable, salesD. sales, cost of goods soldWhich of the following journal entries is appropiate when a credit sales is made under a perpetual inventory (a) Dr. Account receivable Cost of good sold Cr. Sales Merchandise inventory (b) Dr. Account receivable Merchandise inventory Cr. Sales Cost of good sold (c) Dr. Account receivable Cr. Sales (d) Dr. Accounts receivable Cr. Merchandise inventory
- What accounts are used to recognize a retailer’s purchase from a manufacturer on credit?A. accounts receivable, merchandise inventoryB. accounts payable, merchandise inventoryC. accounts payable, cashD. sales, accounts receivableIn a perpetual system, what would be the journal entry for a sales return. (a) Dr. Sales return and allowance Cr. Account receivable (b) Dr. sales Cr. Account receivable (c) Dr. Sales Cr. Merchandise inventory (d) Dr. Sales return and allowance Merchendise inventory Cr. Account receivable Cost of good soldsWhat accounts are used to recognize a retailer's purchase from a manufacturer on credit? Assume the perpetual inventory system is used. A.Accounts Payable, Merchandise Inventory B.Sales, Accounts Receivable C.Accounts Receivable, Merchandise Inventory D.Accounts Payable, Cash
- Match each defınition with the term that best describes it. An income measure that includes gains and [ Choose ] [Choose ] Sales revenue (Sales) Expenses incurred in the process of earning sales revenue. losses that are excluded from the determination of net income. An account that is offset against a revenue Contra revenue account account on the income statement. Cost of goods sold Periodic inventory system FOB destination The total cost of merchandise sold during the Comprehensive income FOB shipping point Perpetual inventory system period. An inventory system under which the [ Choose ] company does not keep detailed inventory records throughout the accounting period but determines the cost of goods sold only at the end of an accounting period. An inventory system under which the [ Choose ] company keeps detailed records of the cost of each inventory purchase and sale, and the records continuously show the inventory that should be on hand. The primary source of revenue in a [ Choose…1. Which of the following accounts are used when recording the sales entry of a sale on credit?- A. merchandise inventory, cashe B. accounts receivable, merchandise inventoryt C. accounts receivable, sales“ D. sales, cost of goods soldUnder periodic accounting system, when merchandize is sold, entry is posted in which account? * (a) Cost of Sales (b) Purchases (c) Inventory (d) None