Consignee tries to sell the goods 1 point for the consignor (owner) for a fee, without taking ownership of the goods. O True False 2:594 .docs.google.com 1 point 2/8 EOM means that a 2% discount will be given to the buyer for paying within the first 8 days of next month. True False Sales returns and allowances is a 1 point contra revenue account to Sales Revenue with a normal credit balance. True O False 1 point Average cost method applies weighted average unit cost to units on hand to determine the cost of ending inventory True False 2:597 .docs.google.com 1 point Goods in transit should not be included in the buyer's inventory of the company under the FOB Shipping point terms, as the seller has the legal title to the goods. True False 1 point Merchandising companies and manufacturing companies have the same inventory classification in the balance sheet. * True False 2:594 .docs.google.com The ending inventory was $2,500, 1 point the cost of goods sold is $5.900. If there were no beginning inventory, the amount of inventory purchased during this accounting period was $3,400. True O False 1 point The cost of goods sold is the total expense (cost) a company incurs during an accounting period. * True False 1 point Under the periodic inventory system, it is extremely important for a company to keep detailed records of goods on hand in real- time to determine the cost of goods sold. *