1.) Which of the following would be prepared by a managerial accountant?

Group of answer choices

income statement

schedule of cost of goods manufactured

budgets

balance sheet

2.) A merchandising company has:

Group of answer choices

no inventory account

an inventory account on the balance sheet as a current asset

an inventory account on the balance sheet as equity

an inventory account on the income statement as revenue

3.) Our company purchases collectibles from a wholesaler and sells them to customers in Pennsylvania. It is likely that our company is:

Group of answer choices

a service company

a merchandising company

a manufacturing company

a nonprofit entity

4.) Which of the following would appear on the balance sheet of a merchandiser but not on the balance sheet of a service company?

Group of answer choices

cost of goods sold

merchandise inventory

gross profit

work in process inventory

5.) Our company is a manufacturer and has the following data available for the current year:

• sales, $550,000;
• sales discounts, $20,000;
• sales returns and allowances, $15,000; and
• cost of goods sold, $200,000.

What is the amount reported on the income statement for net sales?

Group of answer choices

$530,000

$515,000

$500,000

$330,000