Question 1

FOB _________________ means ownership of goods transfers to the buyer when the goods arrive at the buyer's place of business.The seller is responsible for paying shipping charges and bears the risk of damage or loss in transit.

Accepted Answer

The answer of FOB _________________ means ownership of goods transfers...

Question 2

A seller usually prepares a ____________________ to confirm a buyer's return or allowance that informs the buyer of the seller's credit to the buyer's account receivable on the seller's books.

Accepted Answer

The answer of A seller usually prepares a ____________________ to...

Question 3

A ______________________ income statement includes cost of goods sold as another expense and shows only one subtotal for total expenses.

Accepted Answer

The answer of A ______________________ income statement includes cost of...

Question 4

___________ expenses are those expenses that support a company's overall operations and include expenses related to accounting,human resource management,and financial management.

Accepted Answer

The answer of ___________ expenses are those expenses that support...

Question 5

___________________ refer to reductions in the selling price of merchandise sold to customers,often involving damaged or defective merchandise that a customer is willing to purchase with a decrease in the selling price.

Accepted Answer

The answer of ___________________ refer to reductions in the selling...

Question 6

A _____________________ income statement format shows detailed computations of net sales and other costs and expenses and reports subtotals for various classes of items.

Accepted Answer

The answer of A _____________________ income statement format shows detailed...

Question 7

____________________ refer to merchandise that customers return to the seller after a sale.

Accepted Answer

The answer of ____________________ refer to merchandise that customers return...

Question 8

Under the ___________ system,each purchase,purchase return and allowance,purchase discount,and transportation-in transaction is recorded in a separate temporary account.

Accepted Answer

The answer of Under the ___________ system,each purchase,purchase return and...

Question 9

Inventory shrinkage can be computed by comparing the ___________ of inventory with recorded quantities and amounts.

Accepted Answer

The answer of Inventory shrinkage can be computed by comparing...

Question 10

When a company has no reportable nonoperating activities,its income from operations is reported as ___________________.

Accepted Answer

The answer of When a company has no reportable nonoperating...

Question 11

_______________________ are nonoperating activities that include interest,dividend and rent revenues,and gains from asset disposals.

Accepted Answer

The answer of _______________________ are nonoperating activities that include interest,dividend...

Question 12

Match between columns
                        Premises: General and administrative expenses
Merchandise inventory
Selling expenses
Multiple-step income statement
FOB
Inventory shrinkage
List price
Acid-test ratio
Single-step income statement
EOM

Accepted Answer

The Answer of Inventory losses that can occur as a is...

Question 13

Match between columns
                        Premises: Periodic inventory system
Selling expenses
Perpetual inventory system
Credit memorandum
Credit period
Credit terms
Debit memorandum
Discount period
Gross profit
Sales discount

Accepted Answer

The Answer of Net sales less cost of goods sold. is...

Quiz 4: Reporting and Analyzing Merchandising Operations