Expenses that support the overall operations of a business and include the expenses relating to accounting, human resource management, and financial management are called:

a.Cost of goods sold.

b.Selling expenses.

c.Purchasing expenses.

d.General and administrative expenses.

Which of the following methods is appropriate for a business whose inventory consists of a relatively small number of unique, high-cost items?

a. FIFO

b. LIFO

c. Average

d. Specific Identification

Credit terms are terms for

a.when the payments for merchandise are to be made.

b.when the returns of merchandise are to be made.

c.Both of these choices are correct.

d.None of these choices are correct.

What type of company would normally offer trade discounts to its customers?

a. service companies

b. retailers

c. wholesalers

d. online retailers

Which of the following items shouldnotbe included in the cost of ending inventory?

a. purchased units in transit, shipped FOB shipping point

b. purchased units in transit, shipped FOB Destination

c. units on hand in the warehouse

d. sold units in transit, not invoiced, and shipped FOB destination

Gross profit is

a.profit before deducting operating expenses.

b.profit after deducting other expenses.

c.profit after deducting operating expenses.

d.None of these choices are correct.