Assume a Perpetual Inventory System

Multiple Choice

Assume a perpetual inventory system.A purchase on credit for $1 650 including 10% GST would be recorded in the purchases journal as:

A) debit to Inventory $1 650,credit to GST clearing account $150,credit to Accounts payable $1 500.
B) debit to Inventory $1 500,debit to GST clearing account $150,credit to Accounts payable $1 650.
C) debit to Inventory $1 500,credit to Accounts payable $1 500.
D) none of the above