Correct Answer: C

Explanation: The Brooks are allowed two personal exemptions and one dependency exemption for their son. Their daughter does not qualify because of the support test. There is no exception to the support test (even though she is a full-time student).

Today's question: FAR

When using the periodic-inventory method, which of the following generally would not be separately accounted for in the computation of cost of goods sold?

A)   Trade discounts applicable to purchases during the period

B)   Cash (purchase) discounts taken during the period

C)   Purchase returns and allowances of merchandise during the period

D)   Cost of transportation-in for merchandise purchased during the period

Correct Answer: A

Explanation: Cash discounts, purchase returns and allowances, and cost of transportation-in all occur after the actual purchase and would be accounted for separately in cost of goods sold. Trade discounts are deducted from a list price in arriving at the price charged the buyer and recorded on the purchase invoice and would not be recorded separately.

Today's question: BEC

Multiple regression differs from simple regression in that it

A)   Provides an estimated constant term.

B)   Has more dependent variables.

C)   Allows the computation of the coefficient of determination.

D)   Has more independent variables.