QUIZ – Chaps 5,6,71.Which type of inventory system continually updates accounting records for merchandise transactions? 2.Which of the following statements is correct? 3.What is the formula to calculate gross profit? 4.When purchases of merchandise are made on account and the perpetual method is used, the transaction would be recorded with the following entry: 5.An item of merchandise was purchased for $60 with credit terms of 2/10, n/30. The vendor was paid within the discount period. Assuming that a perpetual inventory system is in use, which of the following is the correct journal entry to record the payment of the related invoice?