Question

In: Accounting

After making a sale, a seller may have customers that return goods. The seller uses the...

After making a sale, a seller may have customers that return goods. The seller uses the perpetual inventory system. This requires the seller to _____.

A.) reduce sales and cost of goods sold for the period

B.) use historical data to record sales revenue in the amount that is expected to be received

C.) record two adjusting entries to account for the estimated returns

D.) All of the statements are correct.

Solutions

Expert Solution

Answer) option D

All the statements are correct

A.) reduce sales and cost of goods sold for the period

B.) use historical data to record sales revenue in the amount that is expected to be received

C.) record two adjusting entries to account for the estimated returns

ekkarill92 answered 2 years ago
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