| A | B |
|---|
| A business that buys goods and then sells those goods to customers for a profit is called a(n) _______ . | merchandise business |
| A reduction in the sales price of an item that is given to a customer for prompt payment is a _______ or _______ . | cash discount / sales discount |
| The customer to whom a sale on account is made is called a(n) _______ . | charge customre |
| A(n) _______ occurs when a customer buys an item with a promise to pay for it later. | sale on account |
| A business that sells to the final user is known as a _______ . | retailer |
| Charge customers often use a(n) _______ when they make a purchase on account. | credit card |
| A levy imposed by most states on the retail sales price of goods and services is a(n) _______ . | sales tax |
| Full credit or a cash refund granted by a merchant to a customer for unsatisfactory merchandise is a(n) _______ . | sales return |
| _______ refers to the items of merchandise a business has in stock. | inventory |
| The balance of a(n) _______ must agree with the balance of the accounts in its related subsidiary ledger. | controlling account |
| A price reduction offered to a customer who keeps damaged or defective merchandise is a(n)_______ . | sales allowance |
| _______ set out the time period for a customer to make full payment of an invoice. | credit terms |
| A(n) _______ is a source document prepared by the seller to notify a charge customer that the customer’s account will be decreased by the amount of a return or allowance. | credit memorandum |
| A(n) _______ refers to cash that is received by a business. | cash receipt |
| A(n) _______ is a form that lists the details of a sale: the date of the sale, the name of the customer, and the description, quantity, and price of the goods sold. | sales slip |
| _______ are the goods a business buys for resale to its customers. | merchandise |
| When a customer pays for merchandise in full at the time of purchase, the transaction is called a _______ . | cash sale |
| A(n) _______ contains accounts for all charge customers. | accounts receivable subsidiary ledger |
| A form that serves as a record of cash received from a charge customer is called a _______ . | receipt |
| A ledger or book of accounts that is summarized in a controlling account in the general ledger is called a(n) _______ . | sales tax |
| A business that sells to retailers is called a(n) _______ . | wholesaler |
| A(n) _______is issued by a bank and is honored by many businesses. | bankcard |
