Matching
Match the items below by entering the appropriate code letter in the space provided.
Premises:
Provides support for a credit sale.
Requires a physical count of goods on hand to compute cost of goods sold.
An account that is offset against a revenue account on the income statement.
Specifies the amount of cash discount and time period during which it is offered.
Sales less sales returns and allowances and sales discounts.
A cash discount claimed by a buyer for prompt payment of a balance due.
Net sales less cost of goods sold.
A reduction given by the seller for prompt payment of a credit sale.
Gross profit divided by net sales.
Freight cost to deliver goods to customers reported as an operating expense.
Responses:
Contra revenue
Purchase discount
Sales invoice
Net sales
Periodic inventory system
Gross profit
Gross profit rate
Freight-out
Credit terms
Sales discount
Correct Answer:
Premises:
Responses:
Provides support for a credit sale.
Requires a physical count of goods on hand to compute cost of goods sold.
An account that is offset against a revenue account on the income statement.
Specifies the amount of cash discount and time period during which it is offered.
Sales less sales returns and allowances and sales discounts.
A cash discount claimed by a buyer for prompt payment of a balance due.
Net sales less cost of goods sold.
A reduction given by the seller for prompt payment of a credit sale.
Gross profit divided by net sales.
Freight cost to deliver goods to customers reported as an operating expense.
Premises:
Provides support for a credit sale.
Requires a physical count of goods on hand to compute cost of goods sold.
An account that is offset against a revenue account on the income statement.
Specifies the amount of cash discount and time period during which it is offered.
Sales less sales returns and allowances and sales discounts.
A cash discount claimed by a buyer for prompt payment of a balance due.
Net sales less cost of goods sold.
A reduction given by the seller for prompt payment of a credit sale.
Gross profit divided by net sales.
Freight cost to deliver goods to customers reported as an operating expense.
Responses:
Related Questions
Q37: The journal entry to record a credit
Q58: Financial information is presented below:
Q59: Sue Cole is a new accountant with
Q60: If Hostell Company has net sales of
Q65: Which sales accounts normally have a debit
Q66: A very small business most likely would
Q66: Under a perpetual inventory system the cost
Q67: You are at a company picnic and
Q94: Under GAAP, companies generally classify income statement
Q108: The quality of earnings ratio is calculated