When You Glean Information from Your Company's Accounting and Sales

question 71

True/False

When you glean information from your company's accounting and sales records stored in the company's computer system,you are developing an internal database.

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Definitions:

Periodic Inventory System

An inventory accounting system where goods are physically counted at specific intervals to determine the cost of goods sold and ending inventory levels.

Gross Method

An accounting approach to recording purchases and sales transactions without deducting cash discounts at the point of sale.

Sales Transactions

Financial exchanges involving the transfer of goods or services from seller to buyer for payment.

Journal Entries

Records of financial transactions in the accounting system in the order in which they occur.