A Merchandiser Uses a Perpetual Inventory System

question 4

Multiple Choice

A merchandiser uses a perpetual inventory system. The beginning Capital balance of a merchandiser was $100,000. During the year, sales revenue amounted to $75,000, sales returns and allowances were $1,000, sales discounts were $3,000, cost of goods sold was $40,000, and all other expenses totaled $10,000. The total withdrawals amounted to $25,000. The closing balance of Capital would be:

• A)$99,000
• B)$96,000
• C)$90,000
• D)$100,000

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Definitions:

Nervous Apprehension

A feeling of fear or anxiety about something that might happen or a situation.

Dopamine

A neurotransmitter involved in controlling movement and the reward and pleasure centers of the brain.

Antipsychotic Drugs

medications used to treat symptoms of psychosis, such as delusions, hallucinations, and disorders like schizophrenia.

Receptor Sites

Specific locations on the surface of a cell or within a cell that can bind with substances such as hormones, neurotransmitters, or drugs.