Which of the Following Statements Is Correct

Multiple Choice

Which of the following statements is correct?

A) The perpetual inventory system uses a separate account for Purchase Returns and Allowances.
B) The periodic inventory system continually updates the Inventory and Cost of Goods Sold accounts.
C) The perpetual inventory system requires a closing entry in order to determine Cost of Goods Sold.
D) The Purchases account is used under both the periodic and perpetual inventory systems.
E) Under the periodic inventory system,neither the Cost of Goods Sold account nor the Inventory account is updated on a daily basis.