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Abbott Company purchased $7,200 of merchandise inventory on account. Abbott uses the perpetual inventory method. How does this transaction affect the financial statements? Multiple Choice

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Abbott Company purchased $7,200 of merchandise inventory on account. Abbott uses the perpetual inventory method. How does this transaction affect the financial statements? Multiple Choice Decrease accounts payable and decrease inventory Decrease accounts payable and decrease purchases. Increase cost of goods sold and increase accounts payable. Increase inventory and increase accounts payable

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