Buyers negotiate purchase contracts with suppliers what, Accounting Basics

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Buyers negotiate purchase contracts with suppliers what

Question: 1. Which of the following accounts are temporary accounts under a periodic system?

(a) Merchandise Inventory;

(b) Purchases;

2. Buyers negotiate purchase contracts with suppliers. What type of shipping terms should a buyer attempt to negotiate to minimize freight-in costs?

3. Do reported amounts of ending inventory and net income differ if the adjusting entry method of recording the change in inventory is used instead of the closing entry method?

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