On July 16, 2011, Martson and Co. made the following journal entry: Martson and Co. is using the _________ Inventory system.

Question

On July 16, 2011, Martson and Co. made the following journal entry:  Martson and Co. is using the _________ Inventory system.

Quizplus · Accepted Answer

The journal entry does not provide enough information to determine if Martson and Co. is using the FIFO or LIFO inventory system. However, the mention of a specific date suggests that the company is likely using a perpetual inventory system, which would provide real-time information on inventory levels. Therefore, the best choice is B) Perpetual.