Which of the following transactions would not result in an adjustment to the inventory account under a perpetual inventory system?
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Q: 3.Which of the following transactions would not result in an adjustment to the inventory account…
A: Perpetual inventory system is the one in which the record relating to the inventory is to be…
Q: Which of the following is incorrect about the perpetual inventory method? a. purchases are…
A: Perpetual inventory method : Perpetual inventory method records real time transactions of inventory…
Q: Which of the following accounts is used in the periodic inventory system but not used in the…
A: Periodic inventory system: A periodic inventory system is one of the forms of inventory valuation.…
Q: If a customer purchases merchandise on credit and return the defective merchandise before payment,…
A: Perpetual inventory system: The perpetual inventory system records and updates the inventory after…
Q: Which one of the following transactions is recorded with the same entry in a perpetual and a…
A: Under perpetual inventory system, the accounts like purchase discounts, purchase returns, freight…
Q: Which account will be debited to record the Sale of merchandise on credit under periodic inventory…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Which account will be debited to record the purchase of merchandise on credit under periodic…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: A company using a perpetual inventory system that returns goods previously purchased on credit would…
A: What is perpetual inventory system? It is a system which record the changes in inventory(purchased…
Q: Using a perpetual inventory system, the sale of inventory on account would be recorded as a. Debit…
A: Perpetual inventory system: The method or system of maintaining, recording, and adjusting the…
Q: When merchandise purchased on account is returned under the perpetual inventory system, the buyer…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Which one of the following transactions is recorded with the same entry in a perpetual and a…
A: With the perpetual system all the sales are directly credited to inventory and all the purchases are…
Q: When a retailer sells merchandise to a customer on credit which one of the following accounts is…
A: Selling merchandise to the customer would include two journal entries, one is for selling goods, and…
Q: Which account balance is NOT used to compute the cost of goods sold? a.Merchandise Inventory…
A: Formula: Cost of goods sold = Beginning Merchandise inventory + Net Purchases - Ending Merchandise…
Q: When using the periodic inventory system, which of the following generally would not be separately…
A: Periodic inventory system: The method or system of recording the transactions related to inventory…
Q: Under the perpetual inventory system, in addition to making the entry to record a sale, a company…
A: When sales will be made company has to increase cost of goods sold cost and has to reduce inventory…
Q: Is purchases is the account to be debited upon purchase of merchandise under the perpetual inventory…
A: Perpetual Inventory System It is the most important part of the business to enter the transactions…
Q: Is purchases is the account to be debited upon purchase of merchandise under the perpetual inventory…
A: Journal is the book prepared by the management to record the transactions in a chronological manner.…
Q: Is purchases is the account to be debited upon purchase of merchandise under the perpetual inventory…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: Which account will be debited to record the Sale of merchandise on credit under periodic inventory…
A: Under periodic inventory method, the company wont't compute the 'cost of goods sold' at the time of…
Q: Under the periodic inventory system, which of the following accounts is debited when inventory is…
A: Solution:- Under the periodic inventory system the following accounts is debited when inventory is…
Q: What accounts are used to recognize a retailer's purchase from a manufacturer on credit? Assume the…
A: Perpetual inventory system is a method under which the movement of inventory is recorded at…
Q: Under the perpetual inventory system, cost of goods sold is debited when inventory is sold and…
A: Solution: Under perpetual inventory system, inventory is updated with every purchase and sales. Cost…
Q: 1. Under the perpetual inventory system, in addition to making the entry to record a sales return, a…
A: Note: “Since you have asked multiple question, we will solve the first question for you. If you want…
Q: Under the perpetual inventory system, increases and decreases in inventory are recorded through the…
A: Solution: Under perpetual inventory system, inventory records are updated with every purchase and…
Q: Assuming a periodic inventory system is used, the entry to record a purchase of merchandise on…
A: Assuming a periodic inventory system is used, the entry to record a purchase of merchandise on…
Q: Which of the following statement is FALSE for Merchandise inventory of the Business? a. It is a…
A: Current assets are the short term assets that are being owned by the business entity. It includes…
Q: Which of the following statement is FALSE for Merchandise inventory of the Business? a. It is a…
A: Merchandise inventory is classified as a current asset on the balance sheet. Assets normally have a…
Q: When merchandise purchased on account is returned under the perpetual inventory system, the buyer…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: Under the periodic inventory system, the Purchases account is used to record: a. purchases of any…
A: The periodic inventory system records the cost of goods sold at the end of reporting period instead…
Q: Which term is applied to the excess of revenue from sales over the cost of merchandise sold? a.net…
A: Income statement: It refers to a financial statement that presents all the income earned by the…
Q: der the periodic inventory system, all increases and decreases in inventory, such as purchases,…
A: Solution: False. Under periodic inventory system Daily inventory records are not maintained.
Q: Is purchases is the account to be debited upon purchase of merchandise under the perpetual inventory…
A: As per the perpetual account, all the transactions related to inventory are recorded through the…
Q: When using a perpetual inventory system, the journal entry to record the Cost of Merchandise Sold is…
A: Option a.
Q: Which of the following needs an adjustment to the accounts receivable account of ABC Company? a.…
A: Accounts receivable are created by an organisation when it records sales on credit. The accounts…
Q: Which of the following accounts will not be found in the cost of merchandise sold section of the…
A: Income statement: The income statement is a financial statement that shows the net income earned or…
Q: Mcq In a perpetual inventory system, the amount of the discount allowed for paying for merchandise…
A: Perpetual inventory system is an inventory system in which all transactions related to inventory are…
Q: Under the perpetual inventory method, what account is credited when adjusting for the estimated cost…
A: Perpetual inventory system is the system of maintaining the inventory records perpetually throughout…
Q: When purchases of merchandise are made on account with a perpetual inventory system, the transaction…
A: Perpetual inventory system: It is a method of inventory management that records real time…
Q: When purchases of merchandise are made on account with a perpetual inventory system, the transaction…
A: Correct option is D Debit Merchandise Inventory;credit Account Payable Reason : Merchandise…
Q: Using a perpetual inventory system, the return to their supplier of merchandise purchased on account…
A: When merchandise purchased on credit Inventory accout is debited and accounts payable is credited.…
Q: When merchandise is bought for resale, which of the following accounts would be increased? A.…
A: Merchandise: It can be defined as any type of manufactured goods which may include commercial or…
Q: 31) What is the Adjusting journal entry to record when merchandise inventory is overstated in the…
A: Merchandise inventory is a form of asset for the company. It should be debited in case of increase…
Q: A retailer’s physical count of inventory was higher than that shown by the perpetual records.Which…
A: Physical inventory observation: Physical inventory observation is a process intended to assist the…
Q: a) merchandise inventory, b) accounts payable, c) cost of goods sold, d) customer refunds…
A: Click to see the answer
Q: When recording purchase returns and purchase allowances under the periodic inventory system, what…
A: Periodic Inventory System:Periodic inventory system is a system in which the inventory is updated…
Q: Detailed records of goods held for resale are maintained under a a. perpetual inventory system. b.…
A: Goods available for sale are known as inventory.it is held by the business entity in their stores…
Q: Mr. Ameen use periodic inventory system makes the following journal entry in his business: Debit…
A: Under the periodic inventory system, cost if goods sold are calculated at the end of the period.…
Q: Under the perpetual inventory system, the journal entry to record the freight paid by the seller on…
A: Under perpetual inventory system, inventory account is used instead of purchases account. For every…
Q: Which of the following is correct for net purchases ? Select one: O a. Opening inventory + purchases…
A: Purchases refer to the business activity of procurement goods (either finished or raw materials) or…
Q: The Purchases account is closed to the Merchandise Inventory account. True False
A: Under the periodic inventory method, the purchases or sales are used instead of merchandise…