Under a perpetual inventory system, acquisition of merchandise for resale is debited to the:

A) Inventory account.

B) Purchases account.

C) Supplies account.

D) Cost of Goods sold the account.

2) A buyer would record a payment within the discount period under a perpetual inventory system by crediting:

A) Accounts Payable.

B) Inventory.

C) Purchase Discounts.

D) Sales Discounts.

3) In a perpetual inventory system, the Cost of Goods Sold account is used:

A) only when a cash sale of merchandise occurs.

B) only when a credit sale of merchandise occurs.

C) only when a sale of merchandise occurs.

D) whenever there is a sale of merchandise or a return of merchandise sold.

Answer rating: 100% (QA)

1 A Inventory accounts as in perpetual system inventory account is used unlike ... View the full answer