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The Freight Paid on Goods Purchased F

Question 3

Multiple Choice

The freight paid on goods purchased F.O.B.shipping point was debited to the Purchases account.The company uses the periodic method.This error would cause:


A) the period end expenses to be understated.
B) the period end expenses to be overstated.
C) the period's net income to be understated.
D) None of these is correct.

Correct Answer:

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