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When the perpetual inventory method is being used, the accountant debits __________ __________ and credits Accounts Payable (or Cash) when goods are purchased and debits Cost of Goods Sold and credits __________ __________ when gods are sold, along with the proper sales entry. When the perpetual inventory method is being used, the accountant debits __________ __________ and credits Accounts Payable (or Cash) when goods are purchased and debits Cost of Goods Sold and credits __________ __________ when gods are sold, along with the proper sales entry. When the perpetual inventory method is being used, the accountant debits __________ __________ and credits Accounts Payable (or Cash) when goods are purchased and debits Cost of Goods Sold and credits __________ __________ when gods are sold, along with the proper sales entry.

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akiran007

Answer:

merchandise inventory

Merchandise inventory

Merchandise inventory    

Merchandise inventory

Merchandise inventory    

Merchandise inventory

Explanation:

When the perpetual inventory method is being used, the accountant debits  merchandise inventory and credits Accounts Payable (or Cash) when goods are purchased and debits Cost of Goods Sold and credits merchandise inventory when gods are sold, along with the proper sales entry.

When the perpetual inventory method is being used, the accountant debits  merchandise inventory and credits Accounts Payable (or Cash) when goods are purchased and debits Cost of Goods Sold and credits merchandise inventory when gods are sold, along with the proper sales entry.

When the perpetual inventory method is being used, the accountant debits  merchandise inventory and credits Accounts Payable (or Cash) when goods are purchased and debits Cost of Goods Sold and credits merchandise inventory when gods are sold, along with the proper sales entry.

The cost of each sale transaction ensures that the merchandise inventory account under a perpetual inventory system reflects the updated cost of merchandise available for sale.

The merchandise inventory account is the account title that is mandatorily used when the business is recording the inventory by the perpetual inventory system.

The correct answer for all given blanks is merchandise inventory.

Reason for the debit and credit of the merchandise inventory account:

  • The merchandise inventory is debited when there is a purchase of inventory either on cash or on credit.

  • The merchandise inventory is credited when there is a transaction of sale either sale in cash or in credit. It is credited even when the cost of goods sold is recorded during the perpetual inventory system.

Therefore, under the perpetual inventory system, the merchandise inventory account is used for recording the sale and purchase of inventory.

To know more about merchandise inventory, refer to the link:

https://brainly.com/question/13912139

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