If a business uses the periodic inventory system, the sales journal:
A)will record both the cash and credit sales.
B)will include a Purchase DR and Account Receivable CR column.
C)will exclude the Accounts Receivable DR and Sales Revenue CR column.
D)will not include the Cost of Goods Sold DR and Merchandise Inventory CR column.

Question

Quizplus · Accepted Answer

In a periodic inventory system, the Cost of Goods Sold and Merchandise Inventory accounts are not updated continuously with each sale. Instead, these accounts are updated at the end of the accounting period, so the sales journal will not include these columns.

If a Business Uses the Periodic Inventory System, the Sales