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Match the terms with the definitions
Solution
a) Accounts receivable Ledger - (10) A separate ledger containing an individual account
receivable for each customer kept in either alphabetical or numerical order
b) Cash discounts - (4) discounts to encourage prompt payment by customers who buy
merchandise on account
c) Controlling Account - (1) A summary account maintained in the general ledger for a
subsidiary ledger (for example, the accounts receivable ledger)
d) Credit Memo - (6) A document issued when credit is given for merchandise returned or for an
allowance
e) Mercahandising Business - (12) Purchases marchandise such as clothing, furniture or
computers and sells that merchandise to its customers.
f) Sale - (3) A transfer of merchandise from one busness or individual to another in exchange of
cash or a promise to pay cash
g) Sales Allowances - (11) reduction in the price of merchandise granted by the seller because of
defects or other problems with the merchandise
h) Sales Discount - (5) The seller's term of cash discount
i) Sales Invoice - (7) A document that is generated to bill the customer who made the purchase.
j) Sales Return - (2) Merchandise Returned by a customer for refund
k) Sales Ticket - (9) A document created as evidence of a sale in a retail business
l) Schedule of Accounts receivable - (8) An alphabetical or numerical listing of customer
accounts and balances usually prepared at the end of the month.
Match the terms with the definitions Solutiona) Accounts receivable Le.docx

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Match the terms with the definitions Solutiona) Accounts receivable Le.docx

  • 1. Match the terms with the definitions Solution a) Accounts receivable Ledger - (10) A separate ledger containing an individual account receivable for each customer kept in either alphabetical or numerical order b) Cash discounts - (4) discounts to encourage prompt payment by customers who buy merchandise on account c) Controlling Account - (1) A summary account maintained in the general ledger for a subsidiary ledger (for example, the accounts receivable ledger) d) Credit Memo - (6) A document issued when credit is given for merchandise returned or for an allowance e) Mercahandising Business - (12) Purchases marchandise such as clothing, furniture or computers and sells that merchandise to its customers. f) Sale - (3) A transfer of merchandise from one busness or individual to another in exchange of cash or a promise to pay cash g) Sales Allowances - (11) reduction in the price of merchandise granted by the seller because of defects or other problems with the merchandise h) Sales Discount - (5) The seller's term of cash discount i) Sales Invoice - (7) A document that is generated to bill the customer who made the purchase. j) Sales Return - (2) Merchandise Returned by a customer for refund k) Sales Ticket - (9) A document created as evidence of a sale in a retail business l) Schedule of Accounts receivable - (8) An alphabetical or numerical listing of customer accounts and balances usually prepared at the end of the month.