Mcq In a perpetual inventory system, the amount of the discount allowed for paying for merchandise purchased within the discount period is credited by the buyer to Inventory. Purchase Discounts. Purchase Allowance. Sales Discounts.

Q: 4. Which accounts are affected in the closing process under a perpetual inventory system? Oincome…

A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: Under a perpetual inventory system  accounting records continuously disclose the amount of…

A: The inventory valuation method used to evaluate the closing inventory and cost of goods sold on the…

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: ompany. Merchandise inventory beginning Merchandise inventory, ending Purchases Purchase discounts

A: Cost of Goods Sold = Net Purchases + Merchandise Inventory Beginning - Merchandise inventory Ending

Q: The journal entry to record a merchandise sold to customers on credit under periodic inventory

A: Answer:                                                                                Journal Entry…

Q: The journal entry to record the payment of merchandise on account with a discount under the Periodic…

A: Periodic inventory method: It is a inventory valuation method. In this method inventory account is…

Q: Identify whether each description best applies to a periodic or a perpetual inventory system.…

A: Perpetual inventory system: Perpetual Inventory System refers to the inventory system that maintains…

Q: 40 Under a perpetual inventory system, acquisition of merchandise for resale is debited to the O a.…

A: 40) Acquisition of merchandise is always debited to the Purchases Account as perpetual system keeps…

Q: True or False Merchandise inventory is reported in the long-term assets section of the statement of…

A: Long-term assets:                            Long-term assets are those assets called noncurrent…

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: The amount shown in the balance sheet debit column of worksheet for Merchandise Inventory​ is:   A.…

A: Merchandise inventory: It can be defined as any type of manufactured goods that are acquired by the…

Q: Journalize the following transactions for the buyer, Evans Company, using the gross method to…

A: Preparation of the journal entries is the first step in the double-entry system of bookkeeping.…

Q: What is the treatment of the following items in connection with the retail inventory method? a.…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: What account is debited when recording a purchase of inventory when using the perpetual inventory…

A: Perpetual inventory system: The method or system of maintaining, recording, and adjusting the…

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: Which of the following is not included when computing Net Purchases?A. purchase discountsB.…

A: Purchases is the value of cost of goods that is being purchased or acquired from the suppliers…

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, a company purchases merchandise on terms 2/10, n/30. The entry…

A: Inventory system of book keeping means where proper books of account relating to inventory has been…

Q: When merchandise that was sold is returned, a credit to sales returns and allowances is made by the…

A: As per perpetual inventory system, inventory records are updated after every transaction.  When…

Q: Under the perpetual inventory system, in addition to making the entry to record a sale, a company…

A: Under perpetual inventory system, the decrease in inventory is also recorded every time of sale.

Q: Discuss the treatment of freight-in, purchase returns, purchase discounts, normal spoilage, sales…

A: Retail inventory method: It takes into account all the retail amounts that is, the current selling…

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: What is the treatment of the following items in connection with the retail inventory method? g.…

A: Retail inventory method : The retail inventory method is the accounting method for estimation of the…

Q: Determine ending inventory by applying the retail inventory method.

A: Retail inventory method: It takes into account all the retail amounts that is, the current selling…

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: 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: 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: Under the periodic inventory system, the entry to record a purchase of P60,000, with terms 2/10.…

A: A periodic inventory system refers to accounting for purchases and sales directly in books and…

Q: The amount shown in the adjustments credit column for Merchandise Inventory on the worksheet​ is:…

A: COGS is an expense item computed by subtracting the closing stock from the sum of the opening stock…

Q: Under a periodic inventory system, closing entries will include Oa. debits to Sales, Purchases…

A: Periodic inventory system: The method or system of recording the transactions related to inventory…

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: What is the correct entry to write off the inventory under perpetual method? Dr. Cost of Goods sold…

A: The Perpetual Inventory System is a highly preferred system as it can produce accurate results…

Q: Under a perpetual inventory system: Multiple Choice Cost of good sold is recorded with a period-end…

A: Inventory management is an important activity of management, it means management of storing,…

Q: A perpetual inventory system will always give updated balances for: Goods Available for Sale and…

A: Perpetual inventory system is a type of inventory system in which all transactions related to…

Q: E4-19 (Supplement 6A) Recording Journal Entries for Purchases and Purchase Discounts (Gross Method)…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

Q: Using a perpetual inventory system, the entry to record the sale of merchandise on account includes…

A: Perpetual inventory system: The method or system of maintaining, recording, and adjusting the…

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: Under periodic inventory system, freight-in on merchandise purchases should be charged to the *…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Under the periodic inventory system, the journal entry to record the purchase of merchandise…

A: Periodic inventory system: The method or system of recording the transactions related to inventory…

Q: What is the treatment of the following items in connection with the retail inventory method? d.…

A: A retail business is one that buys goods in bulk from the wholesaler and sells them in smaller…

Q: Discuss how discounts are recorded in a perpetual inventory system, and compare how discounts are…

A: There are two methods to determine the inventory of the company purchased. 1. Perpetual inventory…

Q: What is the treatment of the following items in connection with the retail inventory method? a.…

A: Retail Inventory method is a methodology to calculate the ending value of the inventory of the…

Q: The uses of a Purchase Discounts Lost account implies that the recorded cost of a purchase inventory…

A: Purchase discount lost: Purchase discount lost is recorded when payment is not made to the supplier…

Q: 1. Under the periodic inventory system, Cost of Goods Sold is treated as an account. 2. Goods should…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…