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Problem 1: Which account is not used with a perpetual inventory system?
A) Sales Returns and Allowances
B) Purchase Returns and Allowances
C) Inventory
D) Cost of Goods Sold
Problem 2: The sales journal is used for
A) recording cash receipts.
B) recording purchases of merchandise.
C) recording credit sales.
D) recording cash sales.
Problem 3: Periodic inventory systems require updating of the inventory account
A) after each sale.
B) after each purchase.
C) only at the end of a period.
D) on a daily basis.
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