The Proper Journal Entry to Record the Receipt of Inventory

question 206

Multiple Choice

The proper journal entry to record the receipt of inventory purchased on account in a periodic inventory system would be

• A)Jan. 1 Merchandise Inventory 1,600Accounts Payable 1,600
• B)Jan. 1 Office Supplies 1,600Accounts Payable 1,600
• C)Jan. 1 Purchases 1,600Accounts Payable 1,600
• D)Jan. 1 Purchases 1,600Accounts Receivable 1,600

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Definitions:

Consumer Credit

Financing extended to consumers to allow them to purchase goods and services and repay the money over time.

Agricultural Purposes

Activities related to the cultivation of land, raising crops, and feeding, breeding, and managing livestock.

Fair Credit Reporting Act

U.S. federal legislation designed to promote accuracy, fairness, and privacy of consumer information contained in the files of consumer reporting agencies.

Investigative Consumer Report

A detailed report about a consumer's character, general reputation, personal characteristics, or mode of living, obtained through personal interviews and other means.