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Is periodic inventory system used most by companies that sell low or high volume merchandise?
Wiki User
∙ 14y ago
high volume, low cost
Wiki User
∙ 14y ago
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The periodic inventory system is used most commonly by companies that sell?
low priced high volume merchandise
What is merchandise inventory system?
Merchandise inventory:
When using a perpetual inventory system why are discounts credited to merchandise inventory?
The discounts reduce the cost of the merchandise inventory.
Under a perpetual inventory system acquisition of merchandise for resale is debited to?
Merchandise Inventory account
What inventory system uses the merchandise inventory as an active account?
Perpetual
The periodic inventory system is used most commonly by companies that sell?
low priced high volume merchandise
What is merchandise inventory system?
Merchandise inventory:
When using a perpetual inventory system why are discounts credited to merchandise inventory?
The discounts reduce the cost of the merchandise inventory.
Under a perpetual inventory system acquisition of merchandise for resale is debited to?
Merchandise Inventory account
What inventory system uses the merchandise inventory as an active account?
Perpetual
What methods do not require a physical inventory periodic inventory system perpetual inventory method retail method or gross profit method?
periodic inventory system
What are the disadvantages of a periodic inventory system?
The perpetual inventory system is more complicated, requires more accounting entries and is more costly the periodic inventory system does.
What are the disadvantages of periodic inventory system?
The perpetual inventory system is more complicated, requires more accounting entries and is more costly the periodic inventory system does.
What is periodic inventory?
The system of inventory where updates are made on a periodic basis is a periodic inventory. In this type of inventory, there is no effort made to keep the records of the cost of goods sold or the inventory up-to-date.
In a perpetual inventory system a return of defective merchandise by a purchaser is recorded by crediting what?
inventory
An account used in the perpetual inventory system that is not used in the periodic inventory system is?
Purchases
What is the meaning of Perpetual and periodic system of accounting?
Perpetual System is that system in which company continuously updates the value of inventory while in periodic system inventory valuation is done only for closing inventory when company done physical inventory calculation.
