accounting

Mr.Soukup has prepared the following list of statement about service companies and merchandisers. Measuring net income for a merchandiser is conceptually the same as for a service company. For a merchandiser, the primary source of revenues is the sale of inventory. Sales salaries and wages is an example of an operating expense. The operating cycle of a merchandiser is the same as that of a service company. In a periodic inventory system the cost of goods sold is determine only at the end of the accounting period. A periodic inventory system provides better control over inventories than a perpetual system. Instructions Identify each statement .is true or false. If false, indicate how to correct the statement