Using the perpetual inventory system,discounts taken on an invoice,such as 3/10,n/30,would be:
A) debited to Inventory.
B) credited to Inventory.
C) debited to Cost of goods sold.
D) credited to Cost of goods sold.

Question

Quizplus · Accepted Answer

In a perpetual inventory system, purchase discounts are credited to the Inventory account to reduce the cost of inventory.

Using the Perpetual Inventory System,discounts Taken on an Invoice,such as 3/10,n/30,would