A Merchandiser Had Sales Returns and Allowances of $400,sales Discounts

question 157

Multiple Choice

A merchandiser had sales returns and allowances of $400,sales discounts of $700,cost of goods sold of $14,000,and all other expenses of $4,400.The merchandiser uses a perpetual inventory system.The second entry in the closing process would include ________.

• A)a debit to Income Summary for $19,500
• B)a credit to Income Summary for $18,400
• C)a debit to Income Summary for $4,400
• D)a debit to Income Summary for $18,400

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Definitions:

Black Box Model

A concept in consumer behavior that treats the consumer's mind as a "black box," focusing on the inputs and outputs of the buying process without attempting to interpret what happens inside the mind.

Marketing Research

The process of gathering, analyzing, and interpreting information about a market, including about potential customers and competitors.

Unspoken Needs

Customer requirements or desires that are not directly expressed or communicated, often identified through observation, research, or predictive analytics.

Unserved Markets

Market segments that current products, services, or companies do not reach or address.