Elkins Corporation Uses the Perpetual Inventory Method

question 13

Multiple Choice

Elkins Corporation uses the perpetual inventory method.On March 1, it purchased $10,000 of inventory, terms 2\10, n\30.On March 3, Elkins returned goods that cost $1,000.On March 9, Elkins paid the supplier.On March 9, Elkins should credit

• A)purchase discounts for $200.
• B)inventory for $200.
• C)purchase discounts for $180.
• D)inventory for $180.

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Definitions:

I/O Rack

A physical framework used to organize and protect input/output modules and other control components in an automated system.

Shielded Twisted Pair Cable

A type of cable in which the pairs of conductors are twisted together for the purposes of canceling out electromagnetic interference from external sources, with an additional shield to further protect against interference.

Thermocouple Inputs

Inputs that receive signals from thermocouples, which are temperature-measuring devices consisting of two dissimilar metals joined together, generating a voltage related to temperature.

Electrical Noise

Undesired noise overlaid on a meaningful signal, making its informational content difficult to discern.