Under the perpetual inventory system, in addition to making the entry to record the sale, the seller would
A) debit Inventory and credit Cost of Goods Sold.
B) debit Cost of Goods Sold and credit Purchases.
C) debit Cost of Goods Sold and credit Inventory.
D) make no additional entry until the end of the period.

Question

Quizplus · Accepted Answer

Under the perpetual inventory system, each sale transaction requires an entry to debit Cost of Goods Sold and credit Inventory to reflect the reduction in inventory and the cost associated with the goods sold.

Under the Perpetual Inventory System, in Addition to Making the Entry