If a Customer Takes a Sales Discount an Entry Is

question 71

Multiple Choice

If a customer takes a sales discount an entry is made in the

• A) cash receipts journal.
• B) sales journal.
• C) cash payments journal.
• D) general journal.

---

Definitions:

Consolidated Financial Statements

Financial statements that aggregate the financial information of a parent company and its subsidiaries into one comprehensive document.

Wholly Owned Subsidiaries

Companies whose entire share capital is 100% owned by another company, which gives the parent company full control over the subsidiary.

Audit

A systematic review and assessment of financial records or business processes to ensure accuracy and compliance with regulations and standards.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset over its useful life to date.