To get net purchase the Freight -in deduct from the purchase in the income statement O True O False

Q: a. Net sales b. Cost of goods sold C. Gross profit on sales

A: Hi, there, Thanks for posting the question. As per our Q&A honour code, we must answer the first…

Q: which of the following will not be deducted to compute the consolidated cost of goods sold? A.…

A: Consolidated financial statements means financial statements of overall group where company have one…

Q: Merchandise purchased fo Freight In... Freight Out.. Purchased returns..

A: Before calculating the inventoriable costs,for better understanding,firstly we need to understand…

Q: Beginning inventory plus the cost of goods purchased equals O a. Cost of goods sold O b. Cost of…

A: 34. Beginning inventory + Cost of goods sold = Cost of goods available for sale Cost of goods sold =…

Q: For each of the following, indicate whether it would be reported on the balance sheet (B/S),reported…

A: A balance sheet is a financial statement which reports the closing balances of  Assets, Liabilities…

Q: which amongst the following would not form part of cost of equipment? A) freight charges B)…

A: Cost of equipment means the amount which is incurred to acquire the equipment and to bring the…

Q: Net sales minus cost of good sold is equal to cost of ending inventory.   T/F

A: The ending inventory is the amount of inventory left with business at year end.

Q: Compute for Unrealized gross profit in ending inventory- current yr. *

A: Gross profit is the profit which is earned by the company when from the sales all costs of goods…

Q: Total goods available for sale is equal to  a. the sum of ending inventory and net purchases. b.…

A: Beginning inventory + Net purchases = Cost of goods sold + Ending inventory Total cost of goods…

Q: In a periodic inventory system, the cost of merchandise purchased includes the cost of

A: Statement is TRUE  In a periodic inventory system, the cost of merchandise purchased includes the…

Q: How is the allowance for the inventory write-down shown in the statement of financial position? a.…

A: Inventory means the stock of goods in hand . Goods means is the thing in which the business deals…

Q: he shipments from branch account is added to the branch's purchases account in determining branch's…

A: solution concept The shipments to branch account from head office forms the part of the cost of…

Q: Which of the following is reported as part of the operating expenses? Cost of sales…

A: The question is based on the concept of Business Accounting.

Q: Which method of inventory valuation is not allowed when calculating profit for tax purposes? Select…

A: The inventory can be valued using various methods as LIFO, FIFO , weighted average method.

Q: Payment for acquisition of merchandise antory are ren orted as investing aporte

A: Payment for acquisition of merchandise inventory is done as a part of normal business operations.…

Q: Distinguish between FOB Shipping Point and FOB Destination. Identify the freight terms that will…

A: The letter FOB means Free On Board. Those goods that are placed free onboard the carrier by the…

Q: his account is used to recognize the cost of an inventory that is sold as expens

A: Solution: When inventory is sold, then this cost should be transferred to Cost of goods sold…

Q: Assuming that the perpetual inventory method is used and costs are computed at the time of each…

A: A perpetual inventory system is a method of inventory management that records real-time transactions…

Q: Which freight is capitalizable or inventoriable cost by the consignor on the consigned goods under…

A: Answer -  Freight and other handling costs for the shipping of goods under Consignment Sales from…

Q: Why do you add transportation in and do not deduct delivery expense when determining the cost of…

A: For a buyer, the cost of merchandise purchased is considered as a net cost incurred to buy the…

Q: Cost of goods sold is equal to a. total goods available for sale minus ending inventory. b. total…

A: Formula: Cost of goods available for sale = Beginning inventory + net purchases

Q: 6. Which of the following must be part of the cost of inventory? a. Transportation cost paid for the…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: For purposes of computing the MCIT, which will not form part of cost of goods sold for traders:…

A: MCIT is minimum corporate income tax, which is being payable by the domestic companies. The rate…

Q: Gross profit is calculated as the difference between net sales revenue and​ ________.         A.…

A: Revenue- Revenue refers to the quantity of cash that a corporation actually received during the…

Q: n perpetual method, _______________ will be credited if an item bought will be returned.    Cost of…

A: In perpetual method, Merchandise Inventory will be credited if an item bought will be returned. Cost…

Q: Which method tracks the actual physical flow of goods and each item of inventory is marked, tagged,…

A: The correct option in no. 1 question is d. Specific identification method

Q: What does an “upstream” sale of inventory refer to and when is the profit recognized?

A: Upstream sale of inventory: When a subsidiary sells goods to a parent company, is referred as…

Q: 7.Under the perpetual system, cash freight costs incurred by the buyer for the transporting of goods…

A: Using perpetual inventory system, the expenses incurred on purchase is debited to inventory account.…

Q: Who bears the freight when the terms of sale are (a) FOB shipping point, (b) FOB destination?

A: (a)If the sale is made with the terms FOB shipping point, the goods' ownership is transferred at the…

Q: If the buyer is to pay the freight costs of delivering merchandise, delivery terms are stated as Da.…

A: Cost of goods sold: It refers to the overall cost incurred by a company for the production of the…

Q: Explain the difference between freight in and freight out. Who pays for each? Who owns the goods…

A: Freight refers to the transportation cost paid on the goods. Freight in is the transportation cost…

Q: What type of expenses are deducted as a part of gross profit? A)"Cost of goods sold" only…

A: Gross profit can be calculated by deducting cost of goods sold from the net sales.

Q: The sum of ending inventory and cost of goods sold isa. net purchases.b. beginning inventory.c. cost…

A: Cost of goods sold is the cost price of the goods at which the goods are sold.

Q: Which of the following would not be reported as inventory? A. Goods out on consignment B. Goods in…

A: Hi student Since there are multiple question, we will answer only first question.

Q: . In addition to the purchase price, what additional expenditures does the companyinclude in the…

A:

Q: What is the term applied to the excess of revenue from sales over the Cost of Merchandise Sold? a.…

A: Revenue from sales represents the amount of revenue recognized from the sales made during a…

Q: Compute the receivable turnover ratio Also compute the inventory turnover ratio

A: A quantitative method that provides information about the company including its liquidity,…

Q: Merchandise inventory is * reported under the classification of O Property, Plant, and Equipment on…

A: Introduction: Balance sheet: All Assets and liabilities are shown in Balance sheet. It tells the net…

Q: Which freight is capitalizable or inventoriable cost by the consignor on the consigned goods under…

A: The consignee is the person who takes the goods from consignor to sell it to final customers. He…

Q: Merchandise inventory is reported under the classification of O Property, Plant, and Equipment on…

A: Merchandise inventory valuation done as per IAS-2

Q: How is cost of goods sold classified in the financial statements?a. As a revenueb. As an expensec.…

A: Cost of goods sold is the cost of goods that are being sold in that particular period. It is…

Q: andise Inventory becomes part of Cost of Goods Sold when an entity sells the inventory pays the…

A: Solution: Merchandise Inventory becomes part of Cost of Goods Sold when an entity "sells the…

Q: The amount recorded for net cost of purchases includes all of the following EXCEPT: Purchase…

A: Purchase refers to a transaction that results in an acquisition of an item. This transaction…

Q: A can defined as a partial payment remunerated as an advance on the sales person's commission. O a.…

A: Charge account:- It is an arrangement where one person can purchase products or services on credit.…

Q: Which amongst the following would not form part of cost of equipment? a. Freight charges b.…

A: The company calculates the cost of any asset by adding the relevant cost in bringing the asset into…

Q: Purchases of inventory minus purchase discounts and minus purchase returns and allowances equals: a.…

A: The ending inventory is calculated as difference between cost of goods available for sale and cost…

Q: How would the following transactions affect the current ratio and the acid-test ratio? (a) Purchase…

A: Current ratio is the ratio between the current assets and current liabilities. It shows the…

Q: cost of merchandise sold? S What is the term applied to the eXcess of net revenue from sales over…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…