You work for a company and a customer calls to ask a question about his or her account. You would call the subsidiary accounts receivable ledger to your computer screen.

True

False

Selling expenses include all costs incurred to move merchandise from a company to its customers.

True

False

A company sells a product for $1,000 and the cost of the product to the company is $800. The gross profit (margin) is $1,800.

True

False

Transactions must be entered in both the general journal AND a specialized journal.

True

False

A company buys merchandise in the amount of $10,000, terms 2/10, n/30. This is the correct journal entry for the net method:

Merchandise Inventory 10,000

Accounts Payable 10,000

True

False