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1.CMP Inc. maintains perpetual inventory records. During January, the company made purchasese of $40,000 and sold goods with a cost of $42,000 for $104,000. Cost of goods sold for the month is:A)$62,000B)$40,000C)$42,000D)$64,000
2.The Merchandise Inventory account for a perpetual inventory system is used in each of the following except the entry to record:A)payment of freigh on goods soldB)payment within the discount periodC)the return of goods purchasedD)goods purchased on account
3.The following information is available for Knot Company at December 31, 2008: beginning inventory $80,000; ending inventory $120,000; cost of goods sold $900,000; and sales $1,200,000. Knot's inventory turnover in 2008 is:A)11.3 timesB)7.5 timesC)9 timesD)12 times
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