Under the Perpetual Inventory System,in Addition to Making the Entry

question 3

Multiple Choice

Under the perpetual inventory system,in addition to making the entry to record a sale,a company would

• A)record an increase in inventory corresponding to the amount of the sale.
• B)record a decrease in inventory and an increase in cost of goods sold for the cost of the merchandise sold.
• C)record an increase in inventory corresponding to the cost of the inventory.
• D)make no additional entry until the end of the period.

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Definitions:

Business Areas

are distinct segments within a company, focusing on specific tasks or markets, such as finance, marketing, or product development.

Tetrapods

Tetrapods are a vertebrate group that includes all species with four limbs or limb-like appendages, including amphibians, reptiles, birds, and mammals.

Ancestors

Individuals from whom one is descended, especially those more remote than grandparents, often referring to earlier generations.

Limbs

The extremities or appendages of an organism that are typically used for locomotion, manipulation of the environment, or other functions.