Which of the Following Is NOT Used to Determine the Cost

question 91

Multiple Choice

Which of the following is NOT used to determine the cost of net purchases?

• A)freight-out
• B)freight-in
• C)purchase returns
• D)purchase discounts

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Definitions:

Primarily Liable

The state of being the first or main party responsible for fulfilling a liability or obligation.

Dishonor

In financial contexts, it refers to the refusal or inability to pay a bill of exchange, promissory note, or other negotiable instrument when due.

Warranty Liability

Liability that is attributed when the transfer of an instrument breaches a warranty associated with an instrument.

Transfer

The act of moving or conveying property or rights from one party to another.