A Company That Uses the Perpetual Inventory System Sold Goods $$\begin{array} { | c | r | r | } \hline \text { Cost of Goods Sold } & 400 & \\\hline \text { Sales Revenue} & &400 \\\hline\end{array}$$

question 126

Multiple Choice

A company that uses the perpetual inventory system sold goods for $1,000 to a customer on account. The company had purchased the inventory for $400. Which of the following journal entries correctly records the cost of goods sold?

• A) \[\begin{array} { | c | r | r | }
• \hline \text { Cost of Goods Sold } & 400 & \\
• \hline \text { Sales Revenue} & &400 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | c | r | r | }
• \hline \text { Merchandise Inventory } & 400 & \\
• \hline \text { Cost of Goods Sold } & & 400 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | c | r | r | }
• \hline \text { Cost of Goods Sold } & 400 & \\
• \hline \text { Merchandise Inventory } & & 400 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | c | r | r | }
• \hline \text { Accounts Receivable } & 400 & \\
• \hline \text { Sales Revenue } & & 400 \\
• \hline
• \end{array}\]

Identify the roles and skills effective managers need to perform their functions effectively.

Comprehend the importance and methods of experiential learning in management development.

Grasp the role of emotional and intellectual intelligence in effective management and leadership.

Understand the various strategies and tools for managing and resolving conflict.

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Definitions:

Services Rendered

Work or services that have been provided or completed for a client or customer, usually culminating in a request for payment.