ACC 231 Exam 2 Practice Test Question and
answers already passed || LATEST UPDATE
2026
A company receives an invoice for $3,500 with terms of 3/10, n/45 on March 8. If
the company pays
the bill on March 15, what is the amount of the purchase discount they will
receive?
$105
A company purchases $4,800 of inventory on account. The journal entry to record
this purchase is
DR Inventory $4,800; CR Accounts Payable $4,800.
If an invoice reads n/10, it means that:
the company has 10 days to pay the bill in full.
Net sales or net revenue is computed by taking:
Gross Sales - Sales Returns and Allowances - Sales Discounts
Which of the following indicates that the title of the goods (ownership) changes
hands when the
shipment arrives at the buyers' place of business?
FOB destination
An outdoor clothing store, reports the following information for June. What is
their operating income for June?
Sales revenue
, $104,000
Income tax expense
$11,000
Operating expenses
22,000
Cost of goods sold
65,000
Deferred revenues
$15,000
Nonoperating revenues
12,000
$17,000
Equipment is an example of a:
long-term asset
The Cost of Goods Sold account appears on the:
Income Statement.
The Inventory account appears on the:
Balance Sheet.
A company purchases inventory for $500 then sells the inventory for $1,200 in
cash. The journal
entry to record revenue is:
DR Cash $1,200 CR Revenue $1,200
answers already passed || LATEST UPDATE
2026
A company receives an invoice for $3,500 with terms of 3/10, n/45 on March 8. If
the company pays
the bill on March 15, what is the amount of the purchase discount they will
receive?
$105
A company purchases $4,800 of inventory on account. The journal entry to record
this purchase is
DR Inventory $4,800; CR Accounts Payable $4,800.
If an invoice reads n/10, it means that:
the company has 10 days to pay the bill in full.
Net sales or net revenue is computed by taking:
Gross Sales - Sales Returns and Allowances - Sales Discounts
Which of the following indicates that the title of the goods (ownership) changes
hands when the
shipment arrives at the buyers' place of business?
FOB destination
An outdoor clothing store, reports the following information for June. What is
their operating income for June?
Sales revenue
, $104,000
Income tax expense
$11,000
Operating expenses
22,000
Cost of goods sold
65,000
Deferred revenues
$15,000
Nonoperating revenues
12,000
$17,000
Equipment is an example of a:
long-term asset
The Cost of Goods Sold account appears on the:
Income Statement.
The Inventory account appears on the:
Balance Sheet.
A company purchases inventory for $500 then sells the inventory for $1,200 in
cash. The journal
entry to record revenue is:
DR Cash $1,200 CR Revenue $1,200
