question 5 (3 points)\nnet purchases + purchases returns and allowances + purchase discounts equals:\nnet…

question 5 (3 points)\nnet purchases + purchases returns and allowances + purchase discounts equals:\nnet loss.\nnet income.\ngross profit.\ngross purchases.\nquestion 6 (3 points)\nnet income equals:\nnet sales - cost of goods sold - operating expenses.\ngross profit - operating expenses.\nsales - sales returns & allowances - sales discounts - cost of goods sold - operating expenses.\nall of these are correct.

question 5 (3 points)\nnet purchases + purchases returns and allowances + purchase discounts equals:\nnet loss.\nnet income.\ngross profit.\ngross purchases.\nquestion 6 (3 points)\nnet income equals:\nnet sales - cost of goods sold - operating expenses.\ngross profit - operating expenses.\nsales - sales returns & allowances - sales discounts - cost of goods sold - operating expenses.\nall of these are correct.

Answer

Brief Explanations:

For Question 5, the formula Net Purchases = Gross Purchases - Purchases Returns and Allowances - Purchase Discounts, so when we rearrange it, Net Purchases + Purchases Returns and Allowances + Purchase Discounts = Gross Purchases. For Question 6, Net Income can be calculated as Net Sales - Cost of Goods Sold - Operating Expenses. Also, since Gross Profit = Net Sales - Cost of Goods Sold, Net Income = Gross Profit - Operating Expenses. And Sales - Sales Returns & Allowances - Sales Discounts is Net Sales, so Sales - Sales Returns & Allowances - Sales Discounts - Cost of Goods Sold - Operating Expenses is also Net Income.

Answer:

Question 5: Gross Purchases. Question 6: All of these are correct.