1) If the cost of goods sold increases by a disproportionate amount relative to sales and no changes occur in the prices, quantities purchased, or quality of products purchased, the cause of the disproportionate increase in cost of goods might be: A. Ending inventory has been depleted by theft B. Inventory has been charged with embezzlement C. Both A and B D. None of the above

2) The purchasing department should operate independently of which of the following? A. Inventory control B. Cash disbursements C. Shipping department D. All of the above