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  2. How are periodic and perpetual inventory systems different? Why does a merchandising company prepare a cost of goods section for the income statement?

How are periodic and perpetual inventory systems different? Why does a merchandising company prepare a cost of goods section for the income statement?

Periodic and Perpetual Inventory Systems

Write: Make sure your response addressing the following questions is more than 200 words and that you include an in-text citation or a brief quote from the reading material where appropriate.
• How are periodic and perpetual inventory systems different?
• Why does a merchandising company prepare a cost of goods section for the income statement?
• Provide an example of a perpetual cost of goods section.

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