Is applied when the actual amount paid for merchandise or other items bought is recorded
The maximum outstanding balance allowed to a customer by a vendor
Is applied when source document is prepared for each transaction
Is applied when a business's financial information is recorded and reported separately from the owner’s personal financial information
An account that reduces a related account on a financial statement
Is applied when financial statements are prepared with the expectation that a business will remain in operation indefinitely
The period of time during which a customer may take a cash discount
When a company that has purchased merchandise on account takes a cash discount
Is applied when revenue from business activities and expenses associated with earning that revenue are recorded in the same accounting period
A listing of vendor accounts, account balances, and the total amount due to all vendors
purchases discount
business entity
schedule of accounts payable
discount period
historical cost
contra account
going concern
objective evidence
credit limit
matching expenses with revenue
