| A | B |
|---|
| Credit transactions | when goods are exchanged but the cash relating to the stock is not exchanged until some later date |
| Invoice | a source document that verifies the details of a credit transaction |
| Sales invoice | a source document that verifies a credit sale of stock |
| Purchase invoice | a source document that verifies a credit purchase of stock or other items |
| Debtor | a customer who has a debt to the business for goods or services sold to them on credit |
| Creditor | a supplier who is owed a debt by the business for goods or services purchased on credit |
| Purchases Journal | an accounting record which summarises all transactions involving the purchase of stock on credit |
| Creditors record | a subsidiary accounting record which records each individual transaction with each individual creditor, and shows the balance owing to that creditor at any point in time |
| Creditors Schedule | a listing of the name and balance of each creditor's record |
| Credit sale | a transaction that involves the provision of goods to a customer who is not required to pay until a later date |
| Sales Journal | an accounting record that summariss all transactions involving the sale of stock on credit during a reporting period |
| Debtors Record | a subsidiary accounting record which details each individual transaction which each individual debtor and shows the balance owed at any point in time |
| Statement of Account | a summary of the transaction a firm has had with a particular debtor / creditor over a certain period of time |
| Creditors Turnover | an efficiency indicator which measures the average number of days it takes for a business to pay its creditors |
| Debtors Turnover | an efficiency indicator which measures theaverage number of days it takes for a business to collect cash from its debtors |
