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

Q: Gross profit is equal to Select one: a.  revenues - expenses b. sales - cost of goods sold c.…

A: The income statement is prepared to find the net income or losses incurred during the period.

Q: The possible answers for option D are:Cost of Goods SoldDepreciation ExpenseEarned RevenueIncome Tax…

A: Step1:The likely income statement account that will be used to adjust unearned revenue (balance…

Q: During October, a sari-sari store had the following transactions involving revenue and expenses. Did…

A: In order to determine the net income, the total expenses are required to be subtracted from the…

Q: n accounting for by-products, when the by-products are sold for more than the estimated sales value,…

A: There are two options available to the entity. The entity can choose either of the following options…

Q: Which of the following accounts is an example of a contra-asset? A) Cost of Goods Sold B)Sales…

A: CONTRA ASSETS    contra asset account is a type of asset account where the account balance may…

Q: A seller recognizes the amount of returns from right to return sales as a/an ________. Group of…

A: The question is asking about how a seller recognizes the amount of returns from right to return…

Q: ute for the ff: Total sales Cost of sales Consignment profit Value of Inventory on Consignment

A: Consignment Accounts : It is the account which is prepared to know the profit or loss on…

Q: Explain the accounting for sales with right of return.

A: Definition: Accounting for sales with a right of return: Accounting for sales with the right of…

Q: Gross profit , Ending inventory , Cost of goods sold under Lifo.

A: Formula: Gross profit = Sales - cost of goods  sold.

Q: Calculation of Net income and Cost of Goods Sold

A: The cost of goods manufactured (COGM) is the sum of the cost of direct labor used, 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: Costs to be capitalized in the inventory account include which of the following?   a. Cost of the…

A: Introduction:-. Inventory account shown on the balance sheet under current assets section.…

Q: Cost of goods available for sale is calculated by adding: A beginning inventory to net purchases and…

A: The cost of products available for sale is the cost of raw materials and labor used to make goods…

Q: Which of the following decreases the cost of inventory purchased? CIRCLE ONE: a. Freight Out b.…

A: Under the perpetual inventory system, the inventory includes the cost of purchases, freight in…

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: Cost of goods sold equals to a) ® Cost of goods available for sale - ending inventory. b) © Sales +…

A: COST OF GOODS SOLD REFERS TO THE DIRECT COSTS OF PRODUCING THE GOODS SOLD BY A COMPANY .

Q: 1. Net purchases equal the invoice amount and? a. plus freight-in, plus discounts b. less purchase…

A: Purchases means where the goods has been purchased for the resale purpose. Gross purchases means…

Q: Which inventory cost appears as a Cost of goods sold in an Income statement under FIFO method?

A: “First-In, First-Out” is a method used for cost flow assumption purposes in the cost of goods sold…

Q: .In consignment sales, what is the proper treatment of the consignment-related transportation cost…

A: Consignment means where consignor send goods to consignee to be sold by later on the behalf of…

Q: Which of the following would calculate Net Income or Net Loss? O Gross Profit - Operating Expenses O…

A: Net income is calculated as the Sales-Cost of goods sold-Operating expense Where Gross profit is…

Q: cost of goods sold

A: Option a - Direct wages are part of cost of goods sold Option b - Purchases are included while…

Q: s the cost of goods sold from the income statement part include the cost of goods in inventory?

A: Cost of Goods Sold=Beginning Inventory+Purchases for the period-Ending Inventory

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: Sales Revenue is a(n)_____ account and is an expense account.

A: Sales revenue is neither asset nor liability. It is shown in income statement as revenue.

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: The difference between net sales and cost of goods sold is called (a) gross profit.(b) net…

A: Gross profit/margin: Difference between the sales and the cost of goods sold is called gross margin.…

Q: True or false 1. Cost of goods sold is an operation expense 2. Gross profit is equal to net sales…

A: Given, Cost of goods sold is an operation expense, Gross profit is equal to net sales plus cost of…

Q: True or false 1. Net sales is equal to sales revenue plus sales returns and minus sales discounts 2.…

A: The statement of cost of goods sold is prepared to record the cost of goods sold during the period.

Q: How does accrued but uncollected revenue affect the bal-ance sheet?

A: Accrued revenue: It can be defined as the revenue that has already been earned by the business but…

Q: Gross profit is the gross sales price charged for the goods sold A.True B.False

A: Gross profit means the profit earned by selling the goods without considering the indirect expenses…

Q: Net purchases equal to a) Purchases - Sales. b) Purchases + freight in - purchase returns -…

A: Net purchase is presented in income statement in order to determine Gross income and net income.