When a Person Acquires Temporary Possession of a Chattel by Arrangement

question 33

Multiple Choice

When a person acquires temporary possession of a chattel by arrangement with the owner, it is known as which of the following?

• A) Holder in due course
• B) Chose in action
• C) Consignment
• D) Bailment
• E) Fixture

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Definitions:

Journalized

The process of recording financial transactions in a journal or the book of original entry.

Trial Balance

A bookkeeping worksheet in which the balances of all ledgers are compiled into debit and credit account columns to check for accuracy.

Offsetting Errors

Offsetting errors occur when two or more accounting mistakes cancel each other out, resulting in no net effect on the financial statements.

Trial Balance

A trial balance is a bookkeeping report that lists the balances of all ledgers accounts in two columns, debits and credits, ensuring that total debits equal total credits.