Final answer:
In a perpetual inventory system, the Inventory account is debited when goods are purchased for resale, reflecting an increase in the company's assets held for sale.
Step-by-step explanation:
In a perpetual inventory system, when goods are purchased with the intent of being resold, the account that would be debited is Inventory. This is because the inventory account represents the cost of assets held by a company that are intended for sale. Upon purchasing these goods, the value of the inventory increases, which is reflected by the debit to the inventory account.
As goods are sold, the cost associated with those goods is transferred from the inventory account to the cost of goods sold (COGS). It's important to note that Accounts Payable would typically be credited in this transaction, reflecting the company's obligation to pay the supplier in the future.