Exercise 2 - Multiple Choice Questions (20 points) East, 2020 1) The primary source of revenue for merchandising companies is a. investment income. b. service fees. c. the sale of merchandise. d. the sale of fixed assets the company owns. 2) Sales revenue less cost of goods sold is called a. gross profit. b. net profit. c. net income. d. marginal income. 3) one of the below accounts is not an operating expense: a. depreciation expense b. advertising expense c. Rent Expense. d. gross profit 4) A merchandising company that sells directly to consumers is a a. retailer b. wholesaler broker. d. service company. C. Exercise 2 - Multiple Choice Questions (20 points) East, 2020 1) The primary source of revenue for merchandising companies is a. investment income. b. service fees. c. the sale of merchandise. d. the sale of fixed assets the company owns. 2) Sales revenue less cost of goods sold is called a. gross profit. b. net profit. c. net income. d. marginal income. 3) one of the below accounts is not an operating expense: a. depreciation expense b. advertising expense c. Rent Expense. d. gross profit 4) A merchandising company that sells directly to consumers is a a. retailer b. wholesaler broker. d. service company. C