Question

question 18 (3 points)
the primary difference between the periodic and perpetual inventory systems is that a
perpetual system determines the inventory on - hand only at the end of the accounting period
perpetual system keeps a record showing the inventory on - hand at all times
perpetual system provides an easy means to determine inventory shrinkage
perpetual system records the cost of the sale on the date the sale is made
question 19 (3 points)
the retained earnings statement shows
only net income, beginning and ending balance of retained earnings
only total assets, beginning and ending balance of retained earnings
only net income, beginning balance of retained earnings, and dividends
beginning and ending balance of retained earnings and all the changes in retained earnings as a result of net income (loss) and dividends

Explanation:

For Question 18, the periodic inventory system only determines inventory on - hand at the end of the accounting period, while the perpetual system keeps a continuous record. For Question 19, the retained earnings statement shows the beginning and ending balance of retained earnings and changes due to net income (loss) and dividends.

Answer:

Question 18: A periodic system determines the inventory on hand only at the end of the accounting period.
Question 19: beginning and ending balance of retained earnings and all the changes in retained earnings as a result of net income (loss) and dividends.