In a Periodic Inventory System a Return of Defective Merchandise

question 49

Multiple Choice

In a periodic inventory system a return of defective merchandise to a supplier is recorded by crediting

• A) Accounts Payable.
• B) Inventory.
• C) Purchases.
• D) Purchase Returns and Allowances.

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Definitions:

Sherman Act

is a foundational antitrust law in the United States aimed at preserving competition by prohibiting monopolies, cartels, and other forms of anticompetitive practices.

Restraint Of Trade

Legal doctrine that restricts the ability for parties to freely conduct business, often related to antitrust issues and competition law.

Tying Contract

A sales agreement that requires the buyer to purchase another product or service, distinct from the product or service of interest.

Federal Trade Commission Act

A United States law established in 1914 to promote consumer protection and eliminate and prevent anticompetitive business practices.