The Central Element of What Is Purchased Is Called the "Core

question 32

Multiple Choice

The central element of what is purchased is called the "core," and anything bought on top of that is called what?

• A) promotions
• B) goods
• C) value-addeds
• D) extras

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Definitions:

End-Of-Period Adjusting Entries

Entries recorded in journals at the close of an accounting cycle to refresh the balances of accounts prior to the compilation of financial statements.

Supplies Account

An account used in accounting to track the amount spent on supplies that have not yet been used.

Depreciation

The process of allocating the cost of a tangible asset over its useful life to account for declines in value over time.

Matching Statements

Accounting principles that dictate expenses should be matched with the revenues they helped to generate, ensuring accurate income statements.