Under a Perpetual Inventory System, When Goods Are Returned to the Retailer

question 146

Multiple Choice

Under a perpetual inventory system, when goods are returned to the retailer from a customer:

• A)Cost of Goods Sold is debited; Sales Returns and Allowances is credited.
• B)Sales Returns and Allowances is debited; Cost of Goods Sold is credited.
• C)Sales is debited; Cost Goods Sold is credited.
• D)Inventory is debited; Sales is credited.

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Definitions:

Thalamus

A structure in the brain that relays sensory and motor signals to the cerebral cortex, playing a key role in regulating consciousness, sleep, and alertness.

Hippocampus

A major component of the brain involved in memory formation and spatial navigation, located in the medial temporal lobe.

Cortex

The outer layer of the cerebrum of the brain, involved in complex functions such as thought, memory, and consciousness.

Thalamus

A brain structure acting as a relay station, directing sensory and motor signals to the cerebral cortex, except for the sense of smell.