141.Merchandise with an invoice price of $6,000 is purchased on September 2 subject to terms of 2/10, n/30, FOBdestination. Freight costs paid by the seller totaled $200. What is the required payment if paid on September 12?
a. $6,120
b. $5,940
c. $6,090
d. $5,880
142.Under the periodic inventory system, the journal entry to record the purchase of merchandise inventory will includea debit to
a.Merchandise Inventory
b.Purchases
c.Accounts Payable
d.Cost of Merchandise Purchased
143.Using the following information, what is the amount of net income?
Purchases
|
$32,000
|
|
Selling expense
|
$ 960
|
Merchandise inventory,September 1
|
5,700
|
|
Merchandise inventory,September 30
|
6,370
|
Administrative expense
|
910
|
|
Sales
|
63,000
|
Rent revenue
|
1,200
|
|
Interest expense
|
1,040
|
a. $29,510
b. $29,960
c. $28,310
d. $29,350
144.Using the following information, what is the amount of gross profit?
Purchases
|
$32,000
|
|
Selling expense
|
$960
|
Merchandise inventory,September 1
|
5,700
|
|
Merchandise inventory,September 30
|
6,370
|
Administrative expense
|
910
|
|
Sales
|
63,000
|
Rent revenue
|
1,200
|
|
Interest expense
|
1,040
|
a. $25,300
b. $31,670
c. $30,600
d. $62,840
145.Using the following information, what is the amount of income from operations?
Purchases
|
$32,000
|
|
Selling expense
|
$960
|
Merchandise inventory,September 1
|
5,700
|
|
Merchandise inventory,September 30
|
6,370
|
Administrative expense
|
910
|
|
Sales
|
63,000
|
Rent revenue
|
1,200
|
|
Interest expense
|
1,040
|
a. $32,870
b. $31,910
c. $30,710
d. $29,800
146.When comparing a retail business to a service business, the financial statement that changes the least is the
a.balance sheet
b.income statement
c.retained earnings statement
d.statement of cash flows
147.The retained earnings statement shows
a.only net income, beginning and ending balance of retained earnings
b.only total assets, beginning and ending balance of retained earnings
c.only net income, beginning balance of retained earnings, and dividends
d.beginning and ending balance of retained earnings and all the changes in retained earnings as a result of netincome (loss) and dividends
148.When the three sections of a balance sheet are presented on a page in a downward sequence, it is called the
a.account form
b.comparative form
c.horizontal form
d.report form
149.Multiple-step income statements show
a.gross profit but not income from operations
b.neither gross profit nor income from operations
c.both gross profit and income from operations
d.income from operations but not gross profit
150.The form of income statement that derives its name from the fact that the total of all expenses is deducted from thetotal of all revenues is called a
a.multiple-step statement
b.revenue statement
c.report-form statement
d.single-step statement