3. A purchase discount results from? a. Buying a large enough quantity of merchandise to get the discount. b. Paying within the discount period. c. Returning goods to the seller. d. Receiving a purchase allowance from the seller. 4. Cost of goods sold is computed by adding beginning inventory and net purchases and subtracting, a. Net Sales b. Ending inventory C. Sales discounts d. Accounts Receivable 5. . On July 31, 2006, Buddy Shop had P 36,180 worth of inventory on hand. Purchases for the fiscal year ended July 31, 2006 amounted to P 53,820 while transportation-in of P 2,730 had been incurred. There had been P 21,650 worth of inventory on hand on August 1, 2005. What is the cost of goods sold for the fiscal year ended July 31, 2006? a. P 36,560 b. P 39,290 c. P 42, 020 d. P 71,080 e. None of the above 6. On March 1, 2006, Myrna purchased P 160,000 worth of goods on account, terms of purchase was 3/12, n/45. On March 3, P 10,000 worth of goods was returned to the supplier. If Myrna paid the creditor on March 10, how much did she pay? a. P 145,500 b. p 135,800 c. P 140,000 d. P 150,000 e. None of the above