9. Newark Company has provided the following information: Cash sales, $450,000 Credit sales, $1,350,000 Selling and administrative expenses, S330,000 Sales returns and allowances, $90,000 Gross profit, $1,360,000 Bad debt expense, $33,000 Sales discounts, $43,000 Net income, $1,030,000 How much is Newark's cost of goods sold? A. $307,000. B. $252,000. C. $440,000. D. $340,000. 10. Goods available for sale are allocated to both ending inventory and cost of goods sold. A. True B. False 11. The FIFO inventory method will result in the lowest net income in comparison with the LIFO method when costs are decreasing. A. True B. False 12. An understatement of ending inventory results in an overstatement of net income. A. True B. False 13. A company provided the following data: sales, $500,000; beginning inventory, $40,000; ending inventory, $45,000; and gross profit, $150,000. What was the amount of invento purchased during the year? A. $385,000. B. $355,000 C. $345,000. D. $145,000