A company that uses the perpetual inventory system purchased 500 pallets of industrial soap for $12,000 and paid $770 for the freight-in. The company sold the whole lot to a supermarket chain for $13,000 on account
The company uses the specific-identification method of inventory costing. Which of the following entries correctly records the cost of goods sold?
A)
Cost of Goods Sold 12,770
Merchandise Inventory 12,770
B)
Merchandise Inventory 12,770
Cost of Goods Sold 12,770
C)
Cost of Goods Sold 12,000
Sales Revenue 12,000
D)
Cost of Goods Sold 12,000
Merchandise Inventory 12,000
A
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According to the Boston Consulting Group (BCG) matrix, when the market growth of a product is high but the relative market share is low, it is known as a:
A) cash cow. B) dog. C) star. D) problem child.
Which of the following transactions is represented by the diagram below?
A) Each sale is associated with a single order, and there is a time lag between the time an order is taken and delivery of the product.
B) Each sale can be comprised of multiple orders, and each order can be associated with multiple sales or no sales.
C) Each sale can be comprised of multiple orders, and each order can be associated with one or more sales.
D) Each sale is associated with a single order, and there is no time lag between the time an order is taken and delivery of the product.