Which of the following best explains inventory shrinkage under the perpetual inventory system? Oa. It is the damaged merchandise returned by the buyer to the seller. Ob. It is the amount that is entered on a cash register and recorded in the accounts by increasing inventory. Oc. It is the discount taken by the buyer for early payment of an invoice. Od. It is the difference between the physical count of inventory and the balance of the inventory account.

Which of the following best explains inventory shrinkage under the perpetual inventory system? Oa. It is the damaged merchandise returned by the buyer to the seller. Ob. It is the amount that is entered on a cash register and recorded in the accounts by increasing inventory. Oc. It is the discount taken by the buyer for early payment of an invoice. Od. It is the difference between the physical count of inventory and the balance of the inventory account.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter10: Inventory

Section: Chapter Questions

Problem 11MC: Which of the following describes features of a perpetual inventory system? A. Technology is normally...

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