A company purchased inventory for $800 per unit.The company later sold one unit of the inventory for cash of $1,500.Under the perpetual inventory system,which accounts will be debited to record the sale?

Question

Quizplus · Accepted Answer

The cost of goods sold account is debited with the cost of the unit, which is $800. Meanwhile, the cash account is debited with the amount received from the sale, which is $1,500.

A Company Purchased Inventory for $800 Per Unit