In a periodic inventory system, the inventory account balance during the year is the same as the ending inventory balance at the end of the previous year.

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In a periodic inventory system, purchases are recorded in a purchases account throughout the year, and the inventory account is not updated for each transaction. The inventory account balance is updated only at the end of the year, after a physical count. Therefore, during the year, the inventory account balance remains the same as the ending inventory balance of the previous year until it is updated at year-end.

In a Periodic Inventory System, the Inventory Account Balance During