What Is the FI Effect of a Goods Receipt Posting

question 1

Multiple Choice

What is the FI effect of a goods receipt posting in the external procurement process?

• A)Debit GR/IR,credit inventory
• B)Debit inventory,credit COGS
• C)Debit inventory,credit GR/IR
• D)Debit and credit to the inventory account
• E)No financial effect takes place at this step,so no FI document is created.

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Definitions:

Intoxicant

A substance that causes excitement or diminished control over faculties, typically by means of alcohol or drugs.

Production Function

An equation representing the relationship between inputs used in production and the output produced from these inputs.

Labor

The physical and mental effort used in the production of goods and services, often considered a primary factor of production.

Machines

Tools or devices designed to perform specific tasks or functions, often powered by electricity or mechanical force.