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a ) The purchase of merchandise inventory is recorded as an expense. b ) Merchandise inventory is expensed in the period it is sold. c
a The purchase of merchandise inventory is recorded as an expense.
b Merchandise inventory is expensed in the period it is sold.
c Merchandise Inventory is an account appearing on the balance sheet.
d Cost of goods available for sale is allocated between cost of goods sold and selling expenses.
e Cost of goods sold is a part of administrative and selling expenses.
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