-A company purchases merchandise for $24,000. The seller also offers credit terms of 2/10, n/30. Assuming no returns were made and that payment was made within the discount period, what is the net cost of the merchandise?

Multiple Choice

• $24,000.

• $23,520.

• $2,400.

• $16,800.

• $7,700.

Cost of goods sold:

Multiple Choice

• Is another term for merchandise sales.

• Is the term used for the expense of buying and preparing merchandise for sale.

• Is another term for revenue.

• Is also called gross margin.

• Is a term only used by service firms.

- A company purchases merchandise for $20,000. The seller also offers credit terms of 2/10, n/30. Assuming no returns were made and that payment was made within the discount period, what is the net cost of the merchandise?

Multiple Choice

• $20,000.

• $19,600.

• $2,000.

• $14,000.

• $6,500.

-Garza Company had sales of $147,000, sales discounts of $2,200, and sales returns of $3,530. Garza Company's net sales equals:

Multiple Choice

• $5,730.

• $141,270.

• $144,800.

• $147,000.

• $152,730.