Multiple choice 5.1 Using the periodic system, cost of goods is computed as: A) beginning inventory + acquisitions B) beginning inventory + acquisitions - ending inventory C) beginning inventory + ending inventory + acquisitions D) beginning inventory + ending inventory - acquisitions Multiple choice 5.2 A company paid in advance 36,000 on October 1, 2020, for an insurance premium covering from October 1, 2020 to September 30, 2021. Select the correct statement: A) A deferred expense 27,000 will be shown at the end of 2020. B) As the insurance premium is paid in 2020, the company will recognize 36,000 as an expense in 2020. C) On December 31, 2020 the company will do a prepaid insurance recognition, recording +9,000 euros in rent expense and -9,000 in Cash. D) It is a prepaid insurance expense; therefore, no expense will be recorded in 2020