Untitled Flashcards Set

1. A journal with two amount columns in which all kinds of entries can be recorded. (p. 320)

general journal   

2. Credit allowed for the purchase price of returned merchandise, resulting in a decrease in the customer's account payable to the vendor. (p. 322)

purchases return   

3. 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. (p. 322)

purchases allowance   

4. A form prepared by the customer showing the price deduction taken by the customer for a return or an allowance. (p. 322)

debit memorandum   

5. Credit allowed to a customer for the sales price of returned merchandise, resulting in a decrease in the accounts receivable of the merchandising business. (p. 327)

sales return   

6. Credit allowed to a customer for part of the sales price of merchandise that is not returned, resulting in a decrease in the accounts receivable of the merchandising business. (p. 327)

sales allowance   

7. A form prepared by the vendor showing the amount deducted for returns and allowances. (p. 327)

credit memorandum   

8. An amount earned by a corporation and not yet distributed to stockholders. (p. 332)

retained earnings   

9. Earnings distributed to stockholders. (p. 332)

dividends   

10. A group of persons elected by the stockholders to govern a corporation. (p. 333)

board of directors   

11. Action by a board of directors to distribute corporate earnings to stockholders. (p. 333)

declaring a dividend