Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Business Exam Unit 2 > L03 > Flashcards

L03 Flashcards

1
Q

What is cash on delivery?

A

Payment for goods on delivery rather than before or after

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is errors and omissions excepted?

A

A disclaimer on and invoice or similar transaction to show supplier has reduced legal liabilities for miscount in large numbers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What is T&C’s

A

Restrictions or statements relating to delivery charges , payment terms

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What are terms

A

The time by which payment is expected

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What is a purchase order

A

Legal document between supplier and buyer which lists items bough and purchase price.

States delivery date and payment terms

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What is an invoice?

A

a business issues to customers requesting payment for goods and services

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What is a credit note

A

Sent by seller to buyer of goods have been damaged or error has been made on invoice. Is an offset for future purchase or refund given.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What is a statement of account

A

Issued by supplier to customer at end of each month states all transactions over the period including invoices payments received and credits applied. Final balance shows total owed by customer.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

What is a document used for an payment to employee

A

Travel expense claim form

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What internal documents can be used

A

Petty cash voucher
stock requisition form
IT requisition form
Reprographics requisition form

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What is a petty cash voucher?

A

Held to reimburse staff for small purchases made on behalf of business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What is a stock requisition form?

A

Completed when goods need to be ordered for relevant use

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What is a IT requisition form?

A

Request for IT equipment to be ordered or purchased

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What is a reprographics requisition form?

A

Completed by an employee requiring either photocopying or other reprographics services , e.g booklet being produced or paper laminated.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What is a bank statement

A

Summarises transactions into and out of bank account over a period of time

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What is a budget variance report?

A

A budget variance is the difference between budgeted income and expenditure , useful in decision making

17
Q

What is a favourable variance

A

Figures are better than budgeted figures

18
Q

What is it when the figures or worse than budgeted figures in budget variance report

A

Adverse variance

19
Q

What is a delivery note

A

Document that accompanies shipment of goods which details products and quantities delivered. Customer needs to sign to confirm delivery

20
Q

What is a Goods received note

A

Documents used by the customer for checking items received to ensure they match purchase order.

21
Q

What is a payslip

A

Employees record of the pay they have received.

22
Q

What is a receipt

A

Evidence goods or services have been purchased and the amount paid.

23
Q

What is remittance advice

A

Sent by a customer to supplier to inform them their invoice has been paid, usually when payment done online.

24
Q

What is a request to repair form

A

Internal document to request repair for printer for example.

Also be external if a company lease a photocopier and contract includes maintenance.

25
Q

What is a cheque

A

Document that requests one amount of money is taken from payers bank account to payee

26
Q

What are the advantages to the payer of cheque

A

Can be sent via post
Large amounts of cash do not need to be handled
Payer has a record of payment being made

27
Q

What is disadvantage to payer of cheque

A

Cheques need to be signed by two people which is time consuming

28
Q

What is advantages of payed of cheque

A

Safer to carry cheque rather than large amounts of cash to bank

29
Q

Disadvantage of cheque to payer

A

Must be paid in bank
Errors cause delayed payment
Cheques have to be clear
Cheques can bounce if payer has sufficient funds

30
Q

What is a credit card

A

Enables payer to make payment without the funds in bank

31
Q

What is advantages to the payer of a credit card

A

Payment can be made even if insufficient funds in account
Degree of protection from fraud
Can be used online

32
Q

Disadvantage to payer of using credit card

A

Charged interest in full amount isn’t repaid by given date

Sometimes a fee for using credit cards

33
Q

Advantages to the payee of credit card

A

Credit card company authorised payment

34
Q

Disadvantage of credit card to payee

A

Payees must pay pay a processing fee which reduces amount received

35
Q

What is a debit card

A

Funds transferred from payers bank directly into payees bank

36
Q

Advantages of payer of debit card

A

Large amounts of cash need to be handled

Can be used for online payments

37
Q

Disadvantage to payer of debit card

A

Some businesses charge additional fees to customer

If sufficient funds not in bank account payment cannot be made

38
Q

Advantage to payee of debit card

A

Payee is guaranteed to get payment

39
Q

Disadvantage to payee

A

Payee must pay a processing fee

Business Exam Unit 2 (3 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions