Use This Information to Answer the Following Question In Addition,beginning Merchandise Inventory Was $22,000 and Ending Merchandise Inventory

question 21

Multiple Choice

Use this information to answer the following question. $\begin{array}{|l|r|r|}\hline \text { Account Name } & \text { Debit } & \text { Credit } \\\hline \text { Sales } & & 319,000 \\\text { Sales Returns and Allowances } & 10,000 & \\\text { Purchases } & 68,000 & \\\text { Purchases Returns and Allowances } & & 8,000 \\\text { Freight-In } & 12,000 & \\\text { Selling Expenses } & 30,000 & \\\text { General and Administrative Expenses } & 110,000 & \\\hline\end{array}$ In addition,beginning merchandise inventory was $22,000 and ending merchandise inventory was $14,000.
Income before income taxes for the period was

• A) $199,000.
• B) $119,000.
• C) $89,000.
• D) $229,000.

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Definitions:

Contingency Table

A table used in statistics to show the frequency distribution of variables, helping to analyze the relationship between two categorical variables.

Test Statistic

A statistic used to determine whether to reject the null hypothesis in significance testing.

Nominal Variables

Categories of data that cannot be quantifiably ranked or ordered, serving as labels or names for distinguishing attributes.

Chi-Squared Test

A statistical test used to determine if there is a significant association between two categorical variables.