Question

In a periodic inventory system, the entry at the time of a sale to record the cost of inventory sold includes a:

Answer 1

Answer:

Debit : Cost of Sales and Credit : Inventory

Explanation:

The periodic method recalculates the value of goods held after each and every transaction made involving inventories.

Inventory records are updated electronically to record the sale by reducing the inventory balance (a credit entry) and increasing the cost of sale (debit entry)