Chancellor Company Purchased Merchandise Worth $900 on Credit,terms N/30

question 6

Multiple Choice

Chancellor Company purchased merchandise worth $900 on credit,terms n/30.What is the required journal entry to record the transaction under the periodic inventory system?

• A) Accounts Receivable 900
• Purchases 900
• B) Purchases 900
• Accounts Payable 900
• C) Merchandise Inventory 900
• Accounts Payable 900
• D) Accounts Payable 900
• Merchandise Inventory 900

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Definitions:

Profit Margin

A financial metric that measures the percentage of revenue that exceeds the cost of goods sold, indicating the profitability of a business.

Revenue Analysis

A process of reviewing and evaluating the income generated from operations, usually to understand financial performance and identify improvement areas.

Strategic Planning

A systematic process for envisioning a desired future and translating this vision into broadly defined goals and a sequence of steps to achieve them.

Marketing Strategy

A comprehensive plan formulated to achieve a company’s marketing goals through specific campaign activities and channels.