business
merchandise
Goods that a business purchases to sell.
capital
The assets or other financial resources available to a business.
subsidiary ledger
A ledger that is summarized in a single general ledger account.
inventory
A list of assets, usually containing the value of individual items.
purchase on account
A transaction in which the items purchased are to be paid for later.
merchandising business
A business that purchases and resells goods.
share of stock
Each unit of ownership in a corporation.
subledger
Another term often used to refer to a subsidiary ledger.
merchandise inventory
The goods a business has on hand for sale to customers.
purchases journal
A special journal used to record only purchases of merchandise on account.
retail merchandising business
A merchandising business that sells to those who use or consume the goods.
stockholder
The owner of one or more shares of stock.
accounts payable ledger
The subsidiary ledger containing vendor accounts.
perpetual inventory
An inventory determined by keeping a continuous record of increases, decreases, and the balance on hand of each item of merchandise.
purchase invoice
An invoice used as a source document for recording a purchase on account transaction.
wholesale merchandising business
A business that buys and resells merchandise primarily to other merchandising businesses.
capital stock
The total shares of ownership in a corporation.
controlling account
An account in a general ledger that summarizes all accounts in a subsidiary ledger.
periodic inventory
A merchandise inventory evaluated at the end of a fiscal period.
special amount column
A journal amount column headed with an account title.
corporation
An organization with the legal rights of a person which many persons or other corporations may own.
articles of incorporation
A legal document that identifies basic characteristics of a corporation.
vendor
A business from which merchandise, supplies, or other assets are purchased.
physical inventory
When a periodic inventory is conducted by counting, weighing, or measuring items of merchandise on hand.
purchase order
A form requesting that a vendor sell merchandise to a business.