The Journal Entry to Record the Purchase of Inventory Under

Multiple Choice

The journal entry to record the purchase of inventory under the perpetual system includes:

A) a debit to Cost of Goods Sold and a credit to Merchandise Inventory.
B) a debit to Merchandise Inventory and a credit to Accounts Payable or Cash.
C) a debit to Accounts Receivable or Cash and a credit to Sales.
D) Both A and C are correct.