DA 5 Accounts payable Flashcards
1
Q
- What is a variable expense/overhead?
A
Outflow of money to another person to for service of cost
to run business
2
Q
Examples of a variable overhead/expense
A
Tenants-expense= rent
Student-expense=tuition
Dentist-equip lease= expense
3
Q
- What is a fixed expense/overhead?
A
Expense that continue at all times
4
Q
variable overhead
A
expense that change depending on services rendered
e.g. supply orders
5
Q
- Examples of a fixed overhead/expense
A
e.g rent , salaries
6
Q
- What are the different components of a cheque?
A
Payee, payer, payer bank info Endorsement (sign) Body and figure (amt) Date with 30 days of service Memo (invoice number)
7
Q
Who is the payer on a cheque?
A
Person who pays the money – acct finds are withdrawn
8
Q
- Who is the payee on a cheque?
A
Person being paid-receive money
9
Q
- What does endorsement mean on a cheque
A
Signature
10
Q
- What is Petty Cash?
A
Money used for payment of minor expenses
Last 1 month
Withdraw debit column
11
Q
Disbursement journals are usually kept by calendar ___
A
Month
12
Q
- What is Disbursement?
A
Payment of the money owed
13
Q
- What is a statement?
A
List of total of all invoices
14
Q
- What is an invoice?
A
List of purchase items and their changes
