Name: 1. Sales revenue less Cost of Goods Sold (CGS) is called A) B) Gross Profit (GP) Net Profit (NP) C) Net Income (NI) D) Marginal Income. 2. The Journal Entry (J/E) to record the Receipt of Cash payment within the discount period on a sale of $750 with terms of 2/10, n/30 will include a Credit (CR) to A) CR, Sales Discounts for $15 B) CR, Cash for $735 C) CR, Accounts Receivable for $750. D) CR, Sales for $750. 3. A Credit Sale of S1,800 is made on July 15, terms 2/10, n/30, on which a Return of Merchandise $100 is granted on July 18. What amount of Cash is received as payment in full on July 24 (within the discount period) A) $1,800 B) $1,666 C) $1,700 D) $1,764 4. Geran Company purchased Merchandise Inventory with an invoice price of $8,000 and credit terms of 2/10, n/30. What is the Net Cash Paid if Geran Company pays within the discount period? A) $8,000 B) $7,840 C) $7,200 D) $7,360 5. The Journal Entry (J/E) to reflect the Collection on a $700 Accounts Receivable after the 2 percent discount period will result in a A) CR, credit to Cash for $686. B) CR, credit to Accounts Receivable for $700. C) DR, debit to Cash for $700. D) CR, credit to Sales Discounts for $14. Page 1