Which of the Following Is Not True Regarding a Credit

question 57

Multiple Choice

Which of the following is not true regarding a credit card expense?

• A)Credit card expense may be classified as a "discount" deducted from sales to get net sales.
• B)Credit card expense may be classified as a selling expense.
• C)Credit card expense may be classified as an administrative expense.
• D)Credit card expense is not recorded by the seller.
• E)Credit card expense is a fee the seller pays for services provided by the card company.

Understand and prepare the components of a classified balance sheet.

Identify and correct common accounting errors.

Prepare adjusting and closing entries.

Comprehend the purpose and process of the accounting cycle.

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Definitions:

Organizational Mission

A statement that outlines the purpose, values, and direction of an organization, guiding its decisions and activities.

Foundation

An entity established to provide support through donations or funding to social, educational, charity, or other types of causes.

Direction

Guidance or instructions on a course of action, or the path along which something moves or is aimed to move.

Culture

The shared beliefs, values, norms, and practices that characterize a group of people or society, influencing their behaviors and interactions.