| A | B |
|---|
| Accounts Receivable Subsidiary Ledger | “A separate ledger that contains accounts for each charge customer; it is summarized in the Accounts receivable controlling account in the general ledger.” |
| Cash discount | “The amount a customer can deduct from the total owed for purchased merchandise if payment is made within a certain time; also called sales discount.” |
| Cash receipt | “The cash received by a business in a single transaction.” |
| Cash sale | “A transaction in which the business receives full payment for the merchandise sold at the time of the sale.” |
| Charge customer | “A customer to whom a sale on account is made.” |
| Contra account | “ An account whose balance is a decrease to its related account.” |
| Controlling account | “Ann account that serves as a control on the accuracy of the account balances in the subsidiary ledger; its balance must equal the total of all account balances in the subsidiary ledger.” |
| Credit cards | “A card issued by a business containing a customer’s name and account number that facilitates the sale on account.” |
| Credit memorandum | “A form that lists the details of a sales return or sales allowance.” |
| Credit terms | “Terms that state the time allowed for payment for a sale on account.” |
| Inventory | “The items of merchandise a business has in stock.” |
| Merchandise | “Goods bought to resell to customers.” |
| Retailer | “A business that sells to the final user |
| Sale on account | “The sale of merchandise that will be paid for at a later date.” |
| Sales | “A revenue account to record the amount of the merchandise sold.” |
| Sales allowance | “A price reduction granted for damaged goods kept by the customer.” |
| Sales discount | “Same as Cash discount.” |
| Sales return | “Any merchandise returned for credit or a cash refund.” |
| Sales slip | “A form that lists the details of a sale.” |
| Sales tax | “A tax levied by a city or state on the retail sale of goods and services.” |
| Subsidiary ledger | “A ledger with detailed data that is summarized in a controlling account in the general ledger. |
| Wholesaler | “A business that sells to retailers.” |
