Which Statement Is Correct for About Inventory Systems

question 27

Multiple Choice

Which statement is correct for about inventory systems?

• A)The periodic inventory system provides more information to allow an enterprise to better manage its inventories.
• B)Cost of goods sold is a not a calculated number under the periodic inventory system.
• C)The final amounts reported in statements are the same under both the periodic and perpetual systems.
• D)The periodic inventory system continuously updates information about the amount of inventory on hand.

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Definitions:

Promisee

The person to whom a promise is made in a contract, who stands to benefit from its fulfillment.

Offeror

The party in a contract negotiation that proposes the terms of an agreement to another party, known as the offeree.

Uniform Commercial Code

A comprehensive set of laws governing commercial transactions in the United States, aimed at standardizing practices across states.

Assignment of Accounts Receivable

The transfer of the right to collect money owed on outstanding invoices from the original creditor to another party.