How Does a Perpetual Inventory System Differ from a Periodic

question 90

Multiple Choice

How does a perpetual inventory system differ from a periodic system?

• A)Sales are increased only at the end of the accounting period in a perpetual system.
• B)Cost of goods sold is increased only after an inventory count in a perpetual system.
• C)Inventory is reduced after each sale in a perpetual system.
• D)Inventory is increased after each sale in a periodic system.

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