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Q: How do you calculate cost of merchandise purchased?
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FIFO method Inventory 20 units at 20 sold 10 units purchased 30 units at 21 sold 20 units purchased 10 units at 22 what is the cost of the merchandise sold?

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When merchandise is purchased to resell to customer's it is recorded in the account entitled?

merchandise inventory


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In computing the cost of merchandise sold does freight increase or decrease the cost?

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What is the formula to calculate purchases?

1. Net purchases +? = cost of goods purchased 2. Net purchases = ? + ? = purchases


Assets purchased for resale are recorded in which of the following accounts?

Merchandise Inventory