The sum of beginning inventory and the net cost of purchases during an accounting period.
What is Cost of goods available for sale
100
The transportation cost of receiving merchandise
What is Freight–in
100
“Total purchases less any deductions, such as purchases returns and allowances and discounts on purchases.”
What is Net purchases
100
Discounts that buyers take for early payment of merchandise; the Purchases Discounts account is a contra –purchases account used under the periodic inventory system.
What is Purchases discounts
100
A discount given to a buyer for early payment of a sale made on credit; the Sales Discounts account is a contra–revenue account.
What is Sales discount
200
The transportation cost of delivering merchandise. Also called freight–out.
What is Delivery expense
200
The goods on hand at any one time that are available for sale to customers
What is Merchandise inventory
200
“A series of transactions that include purchases of merchandise inventory for cash or on credit, payment for purchases made on credit, sales of merchandise inventory for cash or on credit, and collection of cash from credit sales.”
What is Operating cycle
200
“A contra–purchases account used under the periodic inventory system to accumulate cash refunds, credits on account, and other allowances made by suppliers.”
What is Purchases Returns and Allowances account
200
“A contra–revenue account used to accumulate cash refunds, credits on account, and other allowances made to customers who have received defective or otherwise unsatisfactory products.”
What is Sales Returns and Allowances account
300
A gain or loss due to exchange rate fluctuation, which is reported on the income statement.”
What is Exchange gain or loss
300
The goods on hand at any one time that are available for sale to customers.
What is Merchandise inventory
300
A system for determining inventory on hand by periodically taking a physical count.
What is Periodic inventory system
300
A discount given to a buyer for early payment of a sale made on credit; the Sales Discounts account is a contra–revenue account.
What is Sales discount
300
“A deduction (usually 30 percent or more) off a list or catalogue price, which is not recorded in the accounting records.”
What is Trade discount
400
A term indicating that the seller retains title to the merchandise until it reaches its destination and that the seller bears the shipping costs.
What is FOB destination
400
A business that earns income by buying and selling goods.
What is Merchandising business
400
A contra–revenue account used to accumulate cash refunds, credits on account, and other allowances made to customers who have received defective or otherwise unsatisfactory products.”
What is Sales Returns and Allowances account
400
Under the the perpetual inventory system you record in the merchandise inventory
What is recording of perpetual invnetory
500
A term indicating that the buyer assumes title to the merchandise at the shipping point and bears the shipping costs.
What is FOB shipping point
500
Net purchases plus any freight charges on the purchases.
What is Net cost of purchases
500
“A system for determining inventory on hand by keeping continuous records of the quantity and, usually, the cost of individual items as they are bought and sold.”
What is Perpetual inventory system
500
“A contra–purchases account used under the periodic inventory system to accumulate cash refunds, credits on account, and other allowances made by suppliers.”