Question 112 points) The income statement format that contains several sections and subsections is multiple-step Income statement. True False Question 2 (2 points) Purchase discounts reduce sales. True False Question 3 (2 points) Errors in the physical inventory count at the end of the accounting period affect both the income statement and balance sheet. True False Question 4 (2 points) High inventory turnover will result in a high average days inventory on hand. True False Question 5 (2 points) Under a perpetual inventory system, you will still need to take a physical inventory from time to time to confirm accuracy of your perpetual records. True False Question 6 (2 points) The sales discount account is a contra account to Sales. True False Question 7 (2 points) Interest expense is an example of an expense classified under "other expense". True False