Which of the Following Is a Characteristic of a Perpetual

question 41

Multiple Choice

Which of the following is a characteristic of a perpetual inventory system?

• A) Inventory purchases are debited to a Purchases account.
• B) Inventory records are not kept for every item.
• C) Cost of goods sold is recorded with each sale.
• D) Cost of goods sold is determined as the amount of purchases less the change in inventory.

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Definitions:

Vital Role

A crucial position or function that is essential to the operation or success of an organization or system.

Technology Play

A strategic business move focusing on the development, use, or investment in technology to gain a competitive edge.

BPM

Business Process Management, involving the modeling, automation, execution, control, measurement, and optimization of business activity flows.

BPI

Business Process Improvement, a systematic approach to help any organization optimize its underlying processes to achieve more efficient results.