1. When using a periodic inventory method, which account is increased when you buy merchandise inventory?

A.) Cost of goods sold

B.) Beginning inventory

C.) Ending inventory

D.) purchases

2. The ending Merchandise Inventory account appears in the _______ on the worksheet.

A.) Adjusted trial balance and balance sheet columns

B.) Adjustment column

C.) Adjustment, adjusted trial balance, an income statement columns

D.) Adjustment, adjusted trial balance and balance sheet column

3. The goods a company has available to sell to customers are called

a.) Supplies

B.) Sales

C.) Cost of goods

d.) Merchandise inventory

4. Using the aging method, estimated uncollectible accounts are $3,000. If the balance in the Allowance for Doubtful Accounts is a $600 credit before adjustment, what is the Bad-Debts Expense adjustment for the period?

a.) $3,000

b.) $600

C.) $2,400

d.) $3,600

5. Which inventory appears in the balance sheet column of the worksheet?

a. Ending inventory

B. Beginning inventory

C. Combination of beginning and ending inventories

D. None of the above

6. At the start of the year, Northern Lights had $8,000 worth of merchandise. What do we know about Northern Lights?

A. It