Accounting 11 SG9

Question 1

Good it’s not a business purchases in order to sell?

Answer 1

Merchandise

Question 2

A business that purchases and resell goods

Answer 2

Merchandising business

Question 3

Merchandising business that sells to those who use or consume the goods

Answer 3

Retail merchandising business

Question 4

A business that buys and resell merchandise primarily to other merchandising business

Answer 4

Wholesale merchandising business

Question 5

An organization with the legal rights of a person which many persons or other corporations may own

Answer 5

Corporation

Question 6

The assets are other financial resources available to a business

Answer 6

Capital

Question 7

Each unit of ownership in a corporation

Answer 7

Share of stock

Question 8

The owner of one or more shares of stock

Answer 8

Stockholder

Question 9

The total shares of ownership in a corporation

Answer 9

Capital stock

Question 10

Illegal document that identifies basic characteristics of a corporation

Answer 10

Articles of incorporation

Question 11

The legal right for a business to conduct operations as a corporation

Answer 11

Charter

Question 12

A business from which merchandise supplies or other assets are purchased

Answer 12

Vendor

Question 13

A ledger that is summarized in a single general ledger account

Answer 13

Subsidiary ledger

Question 14

The substitute ledger containing vendor accounts

Answer 14

Accounts payable ledger

Question 15

An account in a general ledger that summarizes all accounts in a subsidiary ledger

Answer 15

Controlling account

Question 16

A list of assets usually containing the value of individual items

Answer 16

Inventory

Question 17

The goods of business has on hand for sale to customers

Answer 17

Merchandise inventory

Question 18

An inventory determined by keeping a continuous record of increases decreases, and the balance on hand of each item of merchandise

Answer 18

Perpetual inventory

Question 19

Merchandise inventory evaluated at the end of a fiscal period

Answer 19

Periodic inventory

Question 20

When a periodic inventory is conducted by counting weighing or measuring items of merchandise on hand

Answer 20

Physical inventory

Question 21

The amount of business pays for goods it purchases to sell

Answer 21

Cost of merchandise

Question 22

A form requesting the purchase of merchandise

Answer 22

Purchase order

Question 23

A transaction in which the item purchased are to be paid for later

Answer 23

Purchase
on account

Question 24

A special journal used to record only purchases of merchandise on account

Answer 24

Purchase journal

Question 25

An invoice use as a source document for recording a purchase on account transaction

Answer 25

Purchase invoice

Question 26

The date by which an invoice must be paid

Answer 26

Due date

Question 27

A special journal used to record only cash payment transactions

Answer 27

Cash payments journal

Question 28

The retail price listed in a catalog or an Internet site

Answer 28

List price

Question 29

The price after the trade discount has been deducted from the list price

Answer 29

Cash discount

Question 30

A journal amount column that is not headed with an account title

Answer 30

General amount column

Question 31

The period of time during which a customer may take a cash discount

Answer 31

Discount period

Question 32

When a company that has purchased merchandise on account takes a cash discount

Answer 32

Purchases discount

Question 33

An account that reduces a related account on a financial statement

Answer 33

Contra account

Question 34

The maximum oats down thing balance allowed to accustom by a vendor

Answer 34

Credit limit