Sales - # Granting sales retums or allowances. # Accounts Receivable Sales Returns and Allowances ...... Cash or Accounts Receivable ... Merchandise Inventory Cost of Goods Sold # # # Knowledge Check 01 If a perpetual inventory system is in use O a physical inventory count is not required because the Inventory account is updated for each purchase and sale. O a physical inventory count is not required because the Inventory account is updated every time a transaction or event occurs. O a physical inventory count should be taken at least annually, O a physical inventory count is required because the Inventory account is not updated when inventory is purchased or sold. 19 FB DOO DOD F4 80 F3 7 F6 F5