In a perpetual inventory system, the merchandise inventory account must be closed at the end of the accounting period.

Name: In a perpetual inventory system, the merchandise inventory account must be closed at the end of the accounting period.
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In a perpetual inventory system, the merchandise inventory account is continuously updated as transactions occur throughout the period. Therefore, there is no need to close the account at the end of the accounting period.

In a Perpetual Inventory System, the Merchandise Inventory Account Must