Under a perpetual inventory system,
A)accounting records continuously disclose the amount of inventory.
B)increases in inventory resulting from purchases are debited to purchases.
C)there is no need for a year-end physical count.
D)the account purchase returns and allowances is credited when goods are returned to vendors.

Question

Quizplus · Accepted Answer

Under a perpetual inventory system, inventory records are updated continuously to reflect purchases and sales, thus always showing the current inventory levels.

Under a Perpetual Inventory System