Under the Periodic Inventory System, the Journal Entry to Record

question 124

Multiple Choice

Under the periodic inventory system, the journal entry to record the cost of merchandise sold at the point of sale will include the following account

• A) Purchases
• B) Cost of merchandise sold
• C) Inventory
• D) None of the above

---

Definitions:

Oral Contracts

Agreements made verbally rather than in written form, which can be legally binding under certain conditions.

Memorandum

A written document or note that serves as a means of communication or a record of information.

Sale of Goods

A commercial transaction in which a seller transfers ownership of tangible personal property to a buyer for a price.

Electronic Form

Digital or electronic format of documents or data, enabling electronic handling, storage, and transfer.