2.3.4.5. A company that maintains a perpetual inventory system.docx - 2 3 4 5 A company that maintains a perpetual inventory system has an inventory

2.3.4.5. A company that maintains a perpetual inventory system.docx

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2. 3. 4. 5. A company that maintains a perpetual inventory system has an inventory account balance of $50,000. The physical count of goods on hand totals $49,600. Which of the following adjusting entries is correct? O Debit Sales Discounts and credit Inventory O Debit Purchases and credit Inventory O Debit Cost of Goods Sold and credit Inventory. O Debit Inventory and credit Purchases Which of the following accounts will appear in the trial balance of a merchandising company but not a service company? Accumulated Depreciation - Equipment. Salaries and Wages Expense Owner's Drawings Inventory
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Unformatted text preview: The contra revenue account that normally has a debit balance is freight out. purchase discounts sales returns and allowances purchase returns and allowances In a perpetual inventory system, which account would be debited when goods are purchased with the intent of being resold? Purchases Accounts Payable Cost of Goods Sold Inventory Gross profit will result if sales revenue are greater than operating expenses operating expenses are greater than cost of goods sold operating expenses are less than net income. sales revenue are greater than cost of goods sold....
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  • Fall '17
  • Bob Maxwell

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