Match the accounting terms with the description by entering the proper letter in the space provided. A. Accounts receivable ledgerL. Net SalesB. Charge-account salesM. Open-account creditC. Contra revenue accountN. Retail businessD. Control accountO. Sales allowanceE. Credit MemorandumP. Schedule of accounts receivableF. InvoiceQ. Service businessG. List PriceR. Subsidiary ledgerH. Manufacturing businessS. Wholesale businessI. Merchandise inventory?J. Merchandising business?K. Net price?___ 1. A subsidiary ledger that contains credit customer accounts___ 2. An account with a debit balance, which is contrary to the normal balance for a revenue account___ 3. A note verifying that a customer's account is being reduced by the amount of a sales return or sales allowance plus any

Question

sales tax that may have been involved___ 4. A ledger dedicated to accounts of a single type and showing details to support a general ledger account___ 5. A business that sells services___ 6. The list price less all trade discounts___ 7. The stock of goods a merchandising business keeps on hand___ 8. A system that allows the sale of services or goods with the understanding that payment will be made at a later date___ 9. A reduction in the price originally charged to customers for goods or services___ 10. An established retail price___ 11. A business that manufactures goods for or distributes goods to retail businesses or large consumers such as hotels and hospitals___ 12. The difference between the balance in the Sales account and the balance in the Sales Returns and Allowances account___ 13. An account that links a subsidiary ledger and the general ledger since its balance summarizes the balances of the accounts in the subsidiary ledger___ 14. A customer billing for merchandise bought on credit___ 15. A business that sells goods purchased for resale___ 16. A business that sells directly to individual consumers___ 17. A business that sells goods that it has produced___ 18. Sales made through the use of open-account credit or one of various types of credit cards___ 19. A listing of all balances of the accounts in the accounts receivable subsidiary ledger

What will be an ideal response?

Answer 1

(1) A, (2) C, (3) E, (4) R, (5) Q, (6) K, (7) I, (8) M, (9) O, (10) G, (11) S, (12) L, (13) D, (14) F, (15) J, (16) N, (17) H, (18) B, (19) P;