QUESTION 10 Accountants refer to the difference between sales and cost of goods sold as the: O a. holding gain O b.net sales O c. gross profit d.goods available for sale QUESTION 11 Inventory becomes part of cost of goods sold when a company: O a. receives the payment from the customer b.sells the inventory c. pays for the inventory d. purchases the inventory QUESTION 7 Which of the following does not describe an expenditure that would be considered an asset improvement? a. Install hardware that will increase the equipment's rate of output Ob upgrade motor to decrease equipment's operating cost Oc. installation of a new battery system to allow for longer useful lives of office equipment d. routine cost to restore equipment to its ordinary operating condition after an accident QUESTIONS The following are examples of intangible assets, except O a common stock b. franchises O c. trademarks O d. patents QUESTION 9 Which of the following is the correct flow of manufacturing inventory costs? a. finished goods, raw materials, work in process b. none of the above c. work in process, finished goods, raw materials d.raw materials, work in process, finished goods