amarks SOMAX Login ii Filx - Goodman Live * Coupa Home Kronos iSeries Centre PVAMU MSABLAD Seve Required information The following information applies to the questions displayed below.) The beginning account balances for Terry's Auto Shop as of January 1 Year 2, follow: Account Titles Carth 56,14 Inventory con stock Retained Earnings The following events affected the company during the Year 2 accounting period: 1. Purchased merchandise on account that cost $4,220 2. The goods in Event were purchased FOB shipping point with freight cost of $285 cash. 3. Retured $455 of damaged merchandise for credit on account 4. Agreed to keep other damaged merchandise for which the company received a $235 allowance 5. Sold merchandise that cost $2.570 for $4.920 cash 6. Delivered merchandise to customers in Event 5 under terms FOB destination with freight costs amounting to S185 cash 7. Paid $2.830 on the merchandise purchased in Event Why does a difference exist between net income and net cash flow from operating activities? Multiple Choice The difference between net income and net cash flow from operating activities exists because the shops not selling at the inventory that purchased during the period The difference between encome and net cash flow from operating activities exists because of mining the nvertory recording the perpetual invertory system The difference between net income and net cash from orating activities is because operating experiented the determine amarks SOMAX Login ii Filx - Goodman Live * Coupa Home Kronos iSeries Centre PVAMU MSABLAD Seve Required information The following information applies to the questions displayed below.) The beginning account balances for Terry's Auto Shop as of January 1 Year 2, follow: Account Titles Carth 56,14 Inventory con stock Retained Earnings The following events affected the company during the Year 2 accounting period: 1. Purchased merchandise on account that cost $4,220 2. The goods in Event were purchased FOB shipping point with freight cost of $285 cash. 3. Retured $455 of damaged merchandise for credit on account 4. Agreed to keep other damaged merchandise for which the company received a $235 allowance 5. Sold merchandise that cost $2.570 for $4.920 cash 6. Delivered merchandise to customers in Event 5 under terms FOB destination with freight costs amounting to S185 cash 7. Paid $2.830 on the merchandise purchased in Event Why does a difference exist between net income and net cash flow from operating activities? Multiple Choice The difference between net income and net cash flow from operating activities exists because the shops not selling at the inventory that purchased during the period The difference between encome and net cash flow from operating activities exists because of mining the nvertory recording the perpetual invertory system The difference between net income and net cash from orating activities is because operating experiented the determine