Elance Exams Answers PDF file

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Do you enter inventory items using the Chart of Accounts, under assets? And can the quantity be adjusted by just adding/subtracting from this account?

No. Inventory is entered in Receive inventory and can be adjusted using Adjust Qty on Hand icon.
No. Inventory is an Equity account and is handled the same as Profit and Loss accounts.
Yes. Inventory items are assets on the Chart of Accounts and can be adjusted just by going in and adjusting the amount changing the amount to what ever you want.
Yes. It shows as current assets and can be adjusted using a register for that account.
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