| A | B |
|---|
| Debit Memorandum | The form used for returns or allowances |
| Invoice | A bill that lists the credit terms and the items shipped to the buyer. |
| Purchase Order | A written offer to a supplier to purchase certain items. |
| Purchases Account | The account used to record the cost of new merchandise. |
| Purchases Discount | A cash discount offered by suppliers for prompt payment. |
| Purchases Return | When a business returns merchandise to the supplier. |
| Transportation In Account | The account used to record shipping or delivery costs. |
| Merchandise | The only items recorded in the Purchases Account. |
