Which of the following would appear on the income statement of a firm that uses the periodic inventory method, but would NOT appear on the income statement of a firm that uses the perpetual inventory method?
A)Insurance expenses
B)Net sales
C)Cost of sales
D)Cost of goods available for sale

Question

Quizplus · Accepted Answer

In the periodic inventory method, "Cost of goods available for sale" is calculated and used to determine the cost of goods sold at the end of the period, whereas in the perpetual inventory method, inventory records are continuously updated, and this specific calculation does not appear on the income statement.

Which of the Following Would Appear on the Income Statement