When a Company Uses the Perpetual Inventory Method,which of the Following

question 154

Multiple Choice

When a company uses the perpetual inventory method,which of the following would be the entry to adjust inventory to lower-of-cost-or-market?

• A) Debit Purchases and credit Inventory
• B) Debit Inventory and credit Purchases
• C) Debit Cost of goods sold and credit Inventory
• D) Debit Inventory and credit Cost of goods sold

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Definitions:

Natural Mimicry

The adaptation in which an organism evolves to resemble another successful organism or object in its environment, enhancing its survival.

Behavior Feedback Effect

The phenomenon by which performing certain behaviors can influence our thoughts, feelings, and future behavior.

Middle Finger

The third digit of the hand, located between the index finger and the ring finger, often used in many cultures as a gesture of insult or displeasure.

Motion Sensor

A device that detects physical movement in a particular area and is often used in security systems, lighting controls, and interactive technologies.