In a Perpetual Inventory System,two Entries Usually Are Made to Record

question 8

Multiple Choice

In a perpetual inventory system,two entries usually are made to record each sales transaction.The purposes of these entries are best described as follows:

• A)One entry recognizes the sales revenue,and the other recognizes the cost of goods sold.
• B)One entry records the purchase of the merchandise,and the other records the sale.
• C)One entry records the cost of goods sold,and the other reduces the balance in the Inventory account.
• D)One entry updates the general ledger,and the other updates the subsidiary ledgers.

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Definitions:

Self-Interest

The consideration of one's own advantage or well-being above the welfare of others or the community.

Society

A community of people living together in an ordered community, sharing customs, laws, and organizations.

Free Parking

A situation where parking spaces are provided without charge, often influencing car usage and urban congestion.

Commuters

individuals who travel from their home to their place of work and back, typically on a daily basis.