When merchandise is sold, the periodic inventory system requires a debit to Cost of Goods Sold and a credit to Merchandise Inventory.

Name: When merchandise is sold, the periodic inventory system requires a debit to Cost of Goods Sold and a credit to Merchandise Inventory.
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In a periodic inventory system, the Cost of Goods Sold is not recorded at the time of sale. Instead, it is calculated at the end of the accounting period by adjusting the Merchandise Inventory account.

When Merchandise Is Sold, the Periodic Inventory System Requires a Debit