| A | B |
|---|
| Board of Directors | A group of persons elected by the stockholders to govern a corporation. |
| credit memorandum | A form prepared by the vendor showing the amount deducted for returns and allowances. |
| debit memorandum | A form prepared by the customer showing the price deduction taken by the customer for a return or an allowance. |
| declaring a dividend | Action by a board of directors to distribute corporate earnings to stockholders |
| dividends | Earnings distributed to stockholders |
| general journal | A journal with two amount columns in which all kinds of entries can be recorded |
| purchases allowance | Credit allowed for part of the purchase price of merchandise that is not returned, resulting in a decrease in the customer's account payable to the vendor. |
| purchases return | Credit allowed for the purchase price of returned merchandise, resulting in a decrease in the accounts receivable of the merchandising business. |
| retained earnings | An amount earned by a corporation and not yet distributed to stockholders. |
| sales allowance | Credit allowed to a customer for part of the sales prices of merchandise that is not returned, resulting in a decrease in the accouns receivable of the merchandising business. |
| sales return | An amount earned by a corporation and not yet distributed to stockholders |
