In a perpetual inventory system,at the time of a sale the cost of inventory sold is:

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In a perpetual inventory system, the cost of inventory sold is immediately debited to the Cost of Goods Sold (COGS) account at the time of sale. This allows for accurate and up-to-date tracking of COGS and inventory levels. Option A is incorrect because the Accounts Receivable account is not affected by the cost of inventory sold. Option B is incorrect because the cost of inventory sold is not credited to the COGS account, it is debited. Option D is incorrect because the cost of inventory sold must be recorded at the time of sale in order to maintain an accurate perpetual inventory system.

In a Perpetual Inventory System,at the Time of a Sale