What Is the Major Difference Between a Periodic and Perpetual

question 18

Multiple Choice

What is the major difference between a periodic and perpetual inventory system?

• A) Under the periodic inventory system, the purchase of inventory will be debited to the Purchases account
• B) Under the periodic inventory system, no journal entry is recorded at the time of the sale of inventory for the cost of the inventory.
• C) Under the periodic inventory system, all adjustments such as purchases returns and allowances and discounts are reconciled at the end of the month.
• D) All are correct.

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Definitions:

Areolar Tissue

A type of loose connective tissue that provides cushioning and support to the structures it surrounds.

Empty Space

Areas devoid of matter and energy, often referred to in contexts such as outer space or vacuum.

Conspicuous Fibers

refers to fibers that are easily noticeable or prominent due to their appearance, structure, or function within biological or synthetic materials.

Fibroblasts

A type of cell found in connective tissue which produces collagen and other fibers.