a-company-purchases-3000-worth-of-inventory-on-account-how-should-this-transacti

Question

A company purchases $3,000 worth of inventory on account. How should this transaction be recorded in a periodic inventory system?

Accepted Answer

Debit Purchases $$3,000; Credit Accounts Payable 3$$,000

Answer

Debit Accounts Payable $$3,000; Credit Purchases 3$$,000

Answer

Debit Inventory $$3,000; Credit Accounts Payable 3$$,000

Answer

Debit Purchases $$3,000; Credit Cash 3$$,000

A company purchases \$3,000 worth of inventory on account. How should this transaction be recorded in a periodic inventory system?