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Quiz A24% of Total Semester Grade Total Time -30 minutes Total Mark = 30 Marks Student io: Student Name: Part a1 - True/False/MC (5 minutes) 1. The primary source of revenue for a merchandding company results from performing services tor customers. Tor F 2. The operating cycle of a service compamy is usually shorter than that of a merchandising company Tor F 3. Sales revenue less cost of goods sold equals gross peofit Tor F 4. Ending inveatory plus the cost of goods purchased equals cost of goods available for sale Tor F 5. A whoksaler is a company that boys products from manufacturers and sells them to consumers. Tor F 6. A retaler is a middleman that buys products from manufacturers and sells them to wholesalers Tor F 7. 2-Mart had a gross profit of $340,000 based on sales of $200,000. Its cost of goods sold was $350,000 Tor F 8. Cost of goods sold is reported on both the income statement and the balance sheet. Tor F 9. A mecchandising company A. Earns profit from buying and selling merchandse B. buys products from manufacturers and sells to retailer 6. Euys products from manufacturers and sells them to consumers D. Reports cost of goods sold on the income statement c. Al of the above 10. A perpetual invertory ystem A. Gives a continubus record of the amount of invemery on land B. Usel a Purchases accourt tor the cost of new merchandse purchased C. Was hivorically wied by cormparies that iold large quantities of low- value iterts a. is not widely used in practice E. Al of the above