Which of the Following Is Not Considered in Computing Net

question 66

Multiple Choice

Which of the following is not considered in computing net cost of purchases?

• A)Freight-out expenses
• B)Purchases
• C)Freight paid on purchased goods
• D)Purchases returns and allowances

---

Definitions:

Strategic Decisions

High-level choices made by an organization's leadership concerning the overall direction and objectives of the company.

Financial Projections

Estimates of a company's future revenues, expenses, and profitability, often used for budgeting, fundraising, and strategic planning.

Franchising

A business model whereby the owner (franchisor) of a product, service, or method obtains distribution through affiliated dealers (franchisees).

Market Entry Strategy

The planned method of delivering goods or services to a new target market and distributing them there.