ACCOUNTING INFORMATION
SYSTEMS 14TH EDITION BY
MARSHALL ROMNEY AND PAUL
STEINBART 2026 AIS EXAM
QUESTIONS VERIFIED ANSWERS
◉ Merchandiser.
Answer: Earns net income by buying and selling merchandise
◉ Wholesaler.
Answer: Intermediary that buys products from manufacturers or other
wholesalers and sells them to retailers or other wholesalers.
◉ Retailer.
Answer: An intermediary that buys products from manufacturers or
wholesalers and sells them to consumers. Sell both products and
services.
◉ Cost of goods sold.
Answer: the expense of buying and preparing the merchandise (cost of
sales)
◉ Gross Profit (Gross margin).
Answer: net sales minus CGS
, ◉ Merchandise Inventory.
Answer: Products that a company owns and intends to sell. Asset.
Includes incurred to buy the goods, ship them to the store, and make
them ready for sale.
◉ Inventory.
Answer: Products a company owns and expects to sell in its normal
operations.
◉ Perpetual inventory system.
Answer: Inventory accounting system that continually updates
accounting records for merchandising transactions.
◉ Periodic Inventory System.
Answer: Inventory accounting system which updates the accounting
records for merchandise transactions only at the end of a period.
◉ What does the amount recorded for merchandise inventory equal?.
Answer: Purchase cost, shipping fees, taxes, and other fees necessary to
make it ready for sale.
◉ Credit terms for a purchase include....
Answer: amounts and timing of payments from a buyer to seller.
◉ Credit period.
SYSTEMS 14TH EDITION BY
MARSHALL ROMNEY AND PAUL
STEINBART 2026 AIS EXAM
QUESTIONS VERIFIED ANSWERS
◉ Merchandiser.
Answer: Earns net income by buying and selling merchandise
◉ Wholesaler.
Answer: Intermediary that buys products from manufacturers or other
wholesalers and sells them to retailers or other wholesalers.
◉ Retailer.
Answer: An intermediary that buys products from manufacturers or
wholesalers and sells them to consumers. Sell both products and
services.
◉ Cost of goods sold.
Answer: the expense of buying and preparing the merchandise (cost of
sales)
◉ Gross Profit (Gross margin).
Answer: net sales minus CGS
, ◉ Merchandise Inventory.
Answer: Products that a company owns and intends to sell. Asset.
Includes incurred to buy the goods, ship them to the store, and make
them ready for sale.
◉ Inventory.
Answer: Products a company owns and expects to sell in its normal
operations.
◉ Perpetual inventory system.
Answer: Inventory accounting system that continually updates
accounting records for merchandising transactions.
◉ Periodic Inventory System.
Answer: Inventory accounting system which updates the accounting
records for merchandise transactions only at the end of a period.
◉ What does the amount recorded for merchandise inventory equal?.
Answer: Purchase cost, shipping fees, taxes, and other fees necessary to
make it ready for sale.
◉ Credit terms for a purchase include....
Answer: amounts and timing of payments from a buyer to seller.
◉ Credit period.
