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ated with. . Which of the following statements regarding the recording of merchandising journal entries is (are) A periodic inventory system does not track the cost of goods sold during the accounting period. B. Merchandise inventory for sale is recorded in the same account as supplies for internal use. C. Both A) and B) above are true statements. D. Neither A) nor B) above is a true statement 100. Which of the following statements regarding journal entries under a perpetual inventory system is (are) true? A. Transportation costs associated with acquiring inventory should be included in the inventory account it a perpetual inventory system is used B. When a company returns inventory items to a vendor, cash is debited and accounts payable is credited when using a perpetual inventory system. C. Both A) and B) above are true statements D. Neither A) nor B) above is a true statement. 101. Which of the following statements regarding gross profit calculation is (are) true? Gross margin is net sales minus cost of goods sold. B. A company sells $10,000 of goods. The gross profit percentage is 32% Net income would be $3.200. C. Both A) and B) above are true statements D. Neither A) nor B) above is a true statement. gross profit than usual 102, A store holding a-25% off" sale will probably experience and A. higher, higher B. lower, lower sales volume. higher, lower D) lower, higher 103. Segregation of duties means that a company assigns responsibilities so that: A. sufficient workers are available to cover all necessary jobs. responsibilities for related activities are assigned to two or more people. employees are restricted to jobs for which they have adequate training. D, workers are divided into those who make decisions and those who carry them out. 104. Internal controls are concerned with: A. only manual systems of accounting the extent of government regulations. tecting against theft of assets and enhancing the reliability of accounting information. D. preparing income tax returns 105. Which of the folowing is not stated as a primary objective of a company's internal control policies and procedures? A. The proper recording and authorization of transactions. B. The maintenance of adequate records. The prevention or detection of unauthorized activities involving a company's records. The provision of current information for outside investors and analysts

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