Which of the following is not true for a retailer using perpetual inventory system?

Select one:

A. The Cost of Goods Sold account is closed at the end of the year with a debit to Income Summary.

B. When merchandise is purchased FOB shipping point, the buyer assumes the risk of any damage in transit.

C. After a physical inventory count, the retailer credits the inventory account for any missing inventory.

D. When the retailer returns defective merchandise to the manufacturer, they credit Purchase Returns.