Chapter 6 1. What are two advantages and disadvantages of the perpetual inventory system? 2. What are two advantages and disadvantages of the periodic inventory system? 3. Explain two situations where cash would be remitted to a customer from a retailer after purchase. 4. Which statement and where on the statement is freight-out recorded? Why is it recorded there? 5. How can an investor or lender use the Gross Profit Margin Ratio to make financial contribution decisions