Question

Which of the following accounts will normally appear in the ledger of a merchandising company that uses a perpetual inventory system?

A) Sales
B) Cost of Goods Sold
C) Depreciation Expense
D) Accounts Payable

Answer 1

Sales, Cost of Goods Sold, and Accounts Payable will normally appear in the ledger of a merchandising company that uses a perpetual inventory system.

Step-by-step explanation:

In the ledger of a merchandising company that uses a perpetual inventory system, the following accounts will normally appear:

• Sales: This account records the revenue from the sale of goods.
• Cost of Goods Sold: This account records the cost of the goods sold by the company.
• Accounts Payable: This account records the company's outstanding debts to its suppliers.

Depreciation Expense, on the other hand, is not directly related to the inventory system and would not typically appear in the ledger.