Question 1

___________________ 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 2

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 3

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...

Question 4

A seller usually prepares a ____________________ to confirm a buyer's return or allowance, and 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 5

FOB _________________ means the buyer accepts ownership when the goods depart the seller's place of business. The buyer is responsible for paying shipping costs and bears the risk of damage or loss when goods are in transit.

Accepted Answer

The answer of FOB _________________ means the buyer accepts ownership...

Question 6

Sales discounts can benefit a seller by decreasing the delay in receiving cash, and __________.

Accepted Answer

The answer of Sales discounts can benefit a seller by...

Question 7

___________ 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 8

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 9

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

Accepted Answer

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

Quiz 5: Accounting for Merchandising Operations