Which of the Following Statements Is Correct

question 110

Multiple Choice

Which of the following statements is correct?

• A) Under a periodic system, the inventory account is only updated once per period.
• B) Under a perpetual system, the inventory account is only updated once per period.
• C) Cost of goods sold computed under a periodic system would be higher than under a perpetual system.
• D) The value of inventory computed under a periodic system would be lower than under a perpetual system.

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Definitions:

Organizational Design

The process of structuring an organization's roles, responsibilities, and systems to achieve its goals effectively and efficiently.

Direct Supervision

A management style where a supervisor is directly involved in the oversight and direction of employees' work on a day-to-day basis.

Coordinating

The process of organizing and aligning the activities, efforts, and resources of a group or team to achieve a common goal.

Complex

In psychology, a complex is a core pattern of emotions, memories, perceptions, and wishes organized around a common theme, affecting an individual's attitude and behavior.