Matching
Match each definition to its term
Premises:
The abbreviation for free on board; refers to the point when ownership of goods passes to the buyer
A ratio used to assess a company's ability to pay its current liabilities; defined as quick assets divided by current liabilities
Inventory losses that can occur as a result of theft or deterioration
The catalog price of an item before any trade discount is deducted
An income statement format that shows detailed computations of net sales and other costs and expenses and reports subtotals for various classes of items
An income statement format that shows only one subtotal for total expenses
The abbreviation for end-of-month; used to describe credit terms for some transactions
Products a company owns and intends to sell
The expenses of promoting sales by displaying and advertising merchandise, making sales and delivering goods to customers
Expenses that support overall operations and includes expenses related to accounting, human resource management and financial management
Responses:
Acid-test ratio
Single-step income statement
FOB
Merchandise inventory
General and administrative expenses
EOM
Inventory shrinkage
Multiple-step income statement
List price
Selling expenses
Correct Answer:
Premises:
Responses:
The abbreviation for free on board; refers to the point when ownership of goods passes to the buyer
A ratio used to assess a company's ability to pay its current liabilities; defined as quick assets divided by current liabilities
Inventory losses that can occur as a result of theft or deterioration
The catalog price of an item before any trade discount is deducted
An income statement format that shows detailed computations of net sales and other costs and expenses and reports subtotals for various classes of items
An income statement format that shows only one subtotal for total expenses
The abbreviation for end-of-month; used to describe credit terms for some transactions
Products a company owns and intends to sell
The expenses of promoting sales by displaying and advertising merchandise, making sales and delivering goods to customers
Expenses that support overall operations and includes expenses related to accounting, human resource management and financial management
Premises:
The abbreviation for free on board; refers to the point when ownership of goods passes to the buyer
A ratio used to assess a company's ability to pay its current liabilities; defined as quick assets divided by current liabilities
Inventory losses that can occur as a result of theft or deterioration
The catalog price of an item before any trade discount is deducted
An income statement format that shows detailed computations of net sales and other costs and expenses and reports subtotals for various classes of items
An income statement format that shows only one subtotal for total expenses
The abbreviation for end-of-month; used to describe credit terms for some transactions
Products a company owns and intends to sell
The expenses of promoting sales by displaying and advertising merchandise, making sales and delivering goods to customers
Expenses that support overall operations and includes expenses related to accounting, human resource management and financial management
Responses:
Related Questions
Q18: Describe the difference between wholesalers and retailers.
Q79: A perpetual inventory system requires updating of
Q91: A common rule of thumb is that
Q144: A company had a gross profit of
Q156: Credit terms include the specifics regarding the
Q175: A company reported the following year-end
Q177: Maia's Bike Shop uses the periodic
Q183: A company reported the following information
Q206: The gross margin ratio reflects the relation
Q219: A _ is an intermediary that buys