Under a perpetual inventory system, purchase of inventory is recorded as a debit to the
A) Supplies account.
B) Purchases account.
C) Inventory account.
D) Cost of Goods Sold account.

Question

Quizplus · Accepted Answer

Under a perpetual inventory system, purchases of inventory are recorded directly in the Inventory account, reflecting real-time updates to inventory levels.

Under a Perpetual Inventory System, Purchase of Inventory Is Recorded