et points for each correct response) in the list below, there are 10 statements relating to accounts for R ectatatements to accounting for merchandising companies and went e the statement is correct the number 1) Cost of goods sold is considered a product cost 2 When transportation in costum e nto account increase when merchandise Inventory for a ction is recorded a Recorded as an expe The freight terms FOB sho o t inventory to the buyer oth bor SA single-step income statement shows the computation of gross margin 6) The purpose of giving a cash discount to customers purcha OF Biving cash discount c o unt is so they remain stomers perpetua inventory system, sales discount const r uction 8) If a merchandising company uses the perpetual invente ng company uses the perpetual inventory the company does not need to do of the inventory at the end of its accounting period 19 Transportation out cost is a part of selling and administrative cost Whe cost of merchandise inventory is increased the buyer receives an allowance for damage