In a Periodic Inventory System

question 34

Multiple Choice

In a periodic inventory system

• A)A continuous record of the amount of inventory on hand is maintained.
• B)The company records the cost of new merchandise in the permanent Purchases account.
• C)The cost of merchandise on hand is determined by relating the quantities on hand to records showing each item's original cost.
• D)The inventory value is not based on a physical count.
• E)None of these answers apply.

---

Definitions:

Circulatory Impairment

A condition where the blood flow is restricted or inadequately supplied to certain parts of the body.

Fundamental Attribution Error

The tendency to overemphasize personality-based explanations for another observer's behavior in a given situation, while underestimating situational influences.

Unemployed People

Individuals who are currently not working but are able and willing to work, and actively seeking employment.

Income Tax Returns

Documents filed with the government that report income earned and taxes to be paid or refunded, based on that income.