Bryan Company purchased merchandise worth $1,800 on credit,terms n/30.What is the required journal entry to record the transaction under the perpetual inventory system?
A) Accounts Receivable 1,800
Purchases 1,800
B) Purchases 1,800
Merchandise Inventory 1,800
C) Merchandise Inventory 1,800
Accounts Payable 1,800
D) Accounts Payable 1,800
Merchandise Inventory 1,800

Question

Quizplus · Accepted Answer

Under the perpetual inventory system, the purchase of merchandise on credit is recorded by debiting Merchandise Inventory and crediting Accounts Payable.

Bryan Company Purchased Merchandise Worth $1,800 on Credit,terms N/30