Refer to the Information Above

question 140

Multiple Choice

Refer to the information above. If Washington uses a perpetual inventory system, the journal entry to record the purchase on January 18th would include which of the following?

• A) A debit to the Purchases account for $7,000.
• B) A debit to the Cost of Goods Sold for $7,000.
• C) A credit to Inventory for $7,000.
• D) A debit to Inventory for $7,000.