Match each of the following terms with the appropriate definition below. a. Frei
ID: 2456661 • Letter: M
Question
Match each of the following terms with the appropriate definition below.
a.
Freight In
e.
Purchase Returns and Allowances
b.
Delivery Expense
f.
Sales Returns and Allowances
c.
Merchandise Inventory
g.
Purchases
d.
Sales Discounts
h.
Trade Discount
Account used to record merchandise purchased under a periodic inventory system.
Account used to record merchandise purchased under a perpetual inventory system.
Early payment discount offered to customers by the seller.
Expense account for recording shipping costs paid by the seller.
Discounts off the list price offered by wholesalers.
Account where returned merchandise or price adjustments are recorded by the buyer under the periodic inventory system.
Account used to record shipping cost of merchandise by the buyer under a periodic inventory system.
Account where returned merchandise or price adjustments are recorded by the seller.
a.
Freight In
e.
Purchase Returns and Allowances
b.
Delivery Expense
f.
Sales Returns and Allowances
c.
Merchandise Inventory
g.
Purchases
d.
Sales Discounts
h.
Trade Discount
Explanation / Answer
Freight In Account used to record shipping cost of merchandise Delivery Expense Expense account for recording shipping costs paid by the seller Merchandise Inventory Account used to record merchandise purchased under a perpetual inventory system. Sales Discounts Early payment discount offered to customers by the seller Purchase Returns and allowances Account where returned merchandise or price adjustments are recorded by the buyer under the periodic inventory system Sales Returns and allowances Account where returned merchandise or price adjustments are recorded by the seller Purchases Account used to record merchandise purchased under a periodic inventory system. Trade Discount Discounts off the list price offered by wholesalers