_{true or false an clear the reason}

ES-1 Mr Soukup has prepared the following list of statements about service companies and merchandisers 1. Measuring net income for a merchandiser is conceptually the same as for a service company 2. For a merchandiser, sales less operating expenses is called gross profit. 3. For a merchandiser, the primary source of revenues is the sale of inventory 4. Sales salaries and wages is an example of an operating expense 5. The operating eycle of a merchandiser is the same as that of a service company In a perpetual imventory sytem, no detaled nventory rcordsof poods on hand are 7. In a periodic inventory system, the cost of goods sold is determined only at the end of 8. A periodic inventory system provides better control over inventories than a perpetual maintained the accounting period. ystem