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In a Draft Transaction, If the Drawee Is a Buyer

question 74

Multiple Choice

In a draft transaction, if the drawee is a buyer of the drawer, then the draft is referred to as a ________.


Definitions:

Debits

Entries that are made on the left side of an account ledger, representing an increase in assets or decrease in liabilities and equity.

Credits

Entries made on the right side of accounts, representing a decrease in assets or an increase in liabilities and equity.

Customers List

A compilation of information on clients who purchase goods or services from a business, often including contact details and purchase history.

QBO

QuickBooks Online, a cloud-based accounting software designed for small and medium-sized businesses.

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