| A | B |
|---|
| merchandise | goods that a business purchases to sell |
| merchandising business | a business that purchases and sells goods |
| retail merchandising business | a merchandising business that sells to those who use or consume the goods |
| wholesale merchandising business | a business that buys and resells merchandise to retail merchandising businesses |
| corporation | an organization with the legal rights of a person and which many persons may own |
| share of stock | each unit of ownership in a corporation |
| capital stock | total shares of ownership in a corporation |
| stockholder | an owner of one or more shares of a corporation |
| special journal | a journal used to record only one kind of transaction |
| cost of merchandise | price a business pays for goods it purchases to sell |
| markup | the amount added to the cost of merchandise to establish the selling price |
| vendor | a business from which merchandise is purchased or supplies or other assets are bought |
| purchase on account | a transaction in which the merchandise purchased is to be paid for later |
| purchase journal | a special journal used to record only purchases of merchandise on account |
| special amount column | a journal amount column headed with an account title |
| purchase invoice | an invoice used as a source document for recording a purchase on account transaction |
| terms of sale | an agreement between a buyer and a seller about payment for merchandise |
| cash payments journal | a special journal used to record only cash payment transactions |
| cash discount | a deduction that a vendor allows on the invoice amount to encourage prompt payment |
| purchases discount | a cash discount on purchases taken by a customer |
| general amount column | a journal amount column that is not headed with an account title |
| list price | the retail price listed in a catalog or on an Internet site |
| trade discount | a reduction in the list price granted to customers |
| contra account | an account that reduces a related account on a financial statement |
| cash short | a petty cash on hand amount that is less than a recorded amount |
| cash over | a petty cash on hand amount that is more than a recorded amount |
| purchases return | credit allowed for the purchase price of returned merchandise, resulting in a decrease in the customer's accounts payable |
| puchases allowance | credit allowed for part of the purchase price of merchandise that is not returned, resulting in a decrease in the customer's accounts payable |
| debit memorandum | a form prepared by the customer showing the price deduction taken by the customer for returns and allowances |
