<p> Chapter 6 practice problem 1). Which of the following is NOT true of a periodic inventory system? A) a purchases account is used B) a physical count of inventory is taken at the end of the period C) the inventory account is reduced for each sale D) there is a possibility of inventory shrinkage</p><p>2). Which of the following is not a type of inventory held by a manufacturer? A) merchandise inventory B) work in process inventory C) raw materials inventory D) finished goods inventory</p><p>3). The 2003 records of Thomasville Company showed beginning inventory, $50,000; cost of goods sold, $100,000; and ending inventory, $60,000. The purchases for 2003 equal a. $100,000 b. $90,000 c. $110,000 d. $120,000</p><p>4). A $1000 sale is made on May 1 with term 2/10, 0/30. Item with a 100 selling price are returned on May 3, what amount , if received on May 9, will be considered payment in full? a. 700 b, 882 c, 800 d, 900</p><p>5). A company that purchases inventory costing $10,000 on term 2/10,n/45, but first returns one-half of those goods, will receive a discount of what amount if it pays on the last day of the discount period?</p><p> a. 0 b. 100 c. 200 d. 5000</p><p>6). ABC store has $4000 of inventory on hand at the beginning of the month. During the month, the company buys $41,000 of merchandise and sells merchandise that had cost $30,000. At the end of the month, $13000 of inventory is on hand. How much shrinkage occurred during the month?</p>