Under the Perpetual Inventory System, When a Sale Is Made

question 132

True/False

Under the perpetual inventory system, when a sale is made, both the sale and cost of goods sold are recorded.

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Definitions:

Quarterly

Happening quarterly or four times annually.

Trust Fund

A legal arrangement through which assets are held by a third party for the benefit of another party or parties.

Compounded Quarterly

The process in which interest is calculated and added to the principal amount every quarter of the year.

Deposits

Money placed into a bank account or given as a security for a contractual agreement.