When a perpetual inventory system is used, which of the following is a purpose of taking a physical inventory?
A)To check the accuracy of the perpetual inventory records
B)To determine cost of goods sold for the accounting period
C)To compute inventory ratios
D)All are a purpose of taking a physical inventory when a perpetual inventory system is used.

Question

Quizplus · Accepted Answer

A physical inventory is taken to verify the accuracy of the perpetual inventory records, ensuring that the recorded inventory matches the actual inventory on hand.

When a Perpetual Inventory System Is Used, Which of the Following