The purchases journal of a business that uses periodic inventory system will include a column titled:
A)Cost of Goods Sold DR.
B)Purchases DR.
C)Accounts Payable DR.
D)Merchandise Inventory DR.

Question

Quizplus · Accepted Answer

The purchases journal of a business that uses periodic inventory system will include a column titled "Purchases DR" to record the cost of inventory items purchased during the accounting period. The other options, such as Cost of Goods Sold, Accounts Payable, and Merchandise Inventory are generally recorded in different journals or accounts.

The Purchases Journal of a Business That Uses Periodic Inventory