Match the Term to the Appropriate Definition

Multiple Choice

Match the term to the appropriate definition.There are more definitions than terms.
-Purchase Discount

A) Presents important subtotals,such as gross profit,to help distinguish core operating results from other,less significant items that affect net income.
B) A reduction in the cost of inventory purchases associated with unsatisfactory goods.
C) Refunds and price reductions given to customers after goods have been sold and found unsatisfactory.
D) A ratio indicating the percentage of profit earned on each dollar of sales,after considering the cost of products sold.
E) Net sales minus cost of goods sold.It is a subtotal,not an account.
F) A sales price reduction given to customers for prompt payment of their account balance.
G) The sum of beginning inventory and purchases for the period.
H) A cash discount received for prompt payment of a purchase on account.
I) Assets acquired for resale to customers.
J) The cost of inventory lost to theft,fraud,and error.