Devry NY ACCT 504 Week 4 Midterm Exam/Devry NY ACCT 504 Week 4 Midterm Exam

1. Merchandising businesses that sell to retailers are known as:
a. brokers
b. companies
c. wholesalers
d. service firms.

2. Which of the following companies would be most likely to use a perpetual inventory system?
a. grain company
b. supermarket
c. clothing store
d. jewellery dealer

3. A merchandiser that sells directly to consumers is a:
a. retailer
b. wholesaler
c. broker
d. service enterprise.

4. Two categories of expenses in all merchandising companies are:
a. cost of goods sold and financing expenses
b. operating expenses and sales
c. cost of goods sold and operating expenses