If Accounts Payable Has Been Credited, It Is Most Likely

question 97

Multiple Choice

If Accounts Payable has been credited, it is most likely that:

• A) a sale was made on account.
• B) a purchase was made on account.
• C) a correcting entry was made for the overstatement of the purchase of equipment on account.
• D) a customer paid a bill on account.

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Definitions:

Return on Investment

A financial metric used to calculate the profitability of an investment, measuring the gain or loss generated on an investment relative to the amount of money invested.

Investment Opportunity

A chance to use money with the expectation of achieving a return greater than the initial outlay.

Required Rate of Return

The minimum expected rate of return on an investment that makes it acceptable to an investor, based on the investment's risk level.

Housekeeping Department

A division within a business, particularly in the hospitality industry, responsible for maintaining cleanliness, order, and hygiene in rooms and public areas.