If a Company,using a Perpetual Inventory System,purchases Inventory on Account,and

question 104

Multiple Choice

If a company,using a perpetual inventory system,purchases inventory on account,and later returns $200 of goods to the vendor,what entry would be made to record the return of goods to the vendor?

• A) $200 debit to Purchases and a $200 credit to Accounts payable
• B) $200 debit to Accounts payable and a $200 credit to Inventory
• C) $200 debit to Inventory and a $200 credit to Accounts payable
• D) $200 debit to Accounts payable and a $200 credit to Purchases

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Definitions:

U.S. Producers

U.S. Producers refer to individuals or entities engaged in the creation or manufacturing of goods and services within the United States.

Tariff

A tax imposed by a government on goods and services imported from other countries, used to restrict trade, as it increases the cost of imported goods and services, making them less competitive within the domestic market.

Canadian Tariff

A tax imposed by the Canadian government on imported goods to protect domestic industries or to generate revenue.

French Wine

Wine produced in the various wine regions of France, known worldwide for its quality and variety.