Journalize the following entries assuming the use of the perpetual inventory system. June 27 Sold...
Question:
Journalize the following entries assuming the use of the perpetual inventory system.
| June 27 | Sold goods on account for $10,000, terms 2/15, n/30. The cost of the goods is $6,700 |
| July 5 | Received payment for the goods sold on June 27th |
Perpetual Inventory System:
In accounting, businesses can have up-to-date information on their inventory levels, which helps them make better purchasing, production, and sales decisions if the latter uses perpetual inventory system.
Answer and Explanation: 1
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View this answerThe transactions above transactions must be recorded using the perpetual inventory system.
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|---|---|---|---|
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Perpetual Inventory System: Definition, Advantages & Examples
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Chapter 1 / Lesson 15
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Learn about the perpetual inventory system and how it is used. Explore the advantages of perpetual inventory systems and compare perpetual vs. periodic inventory.
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