A Merchandiser Purchased Inventory on Account for $17,000

question 209

Multiple Choice

A merchandiser purchased inventory on account for $17,000.In a periodic inventory system,the journal entry to record the purchase would include ________.

• A) a debit to Purchases for $17,000 and a credit to Accounts Payable for $17,000
• B) a debit to Accounts Payable for $17,000 and a credit to Purchases for $17,000
• C) a debit to Merchandise Inventory for $17,000 and a credit to Accounts Payable for $17,000
• D) a debit to Accounts Payable for $17,000 and a credit to Merchandise Inventory for $17,000

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Definitions:

Cascading

The process of connecting or layering several components or systems in a step-wise fashion where the output of one serves as the input for the next.

Reciprocating Functions

Functions or operations that involve back-and-forth or repetitive motion, often seen in mechanical systems.

Parallel Circuit

A circuit in which two or more of the connected components or contact symbols in a ladder program are connected to the same pair of terminals so that current may flow through all the branches; contrasted with a series connection, in which the parts are connected end to end so that current flow has only one path.

Series Circuit

A circuit in which the components or contact symbols are connected end to end, and all must be closed to permit current flow.