The Following List of Accounts Was Taken from the General

question 149

Essay

The following list of accounts was taken from the general ledger of Bassett Corporation on December 31, 2015.
The bookkeeper thought it would be helpful if the accounts were arranged in alphabetical order. Each account contains the balance that is normal for that type of account; for example, Cash normally has a debit balance. Prepare a trial balance as of this date with the accounts arranged in the following order: 1 assets, 2 liabilities, 3 stockholders' equity, 4 revenues, 5 expenses, and 6 dividends.

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Definitions:

Trade Discount

A reduction from the list price granted by a seller to a buyer, often based on volume or trade practices.

List Price

The initial sales price of a product or service before any discounts or allowances are applied.

Cash Discount

A reduction in the invoice amount offered by a seller to a buyer as an incentive for early payment, typically within specific terms.

Sales Returns and Allowances

Reductions in sales revenue for returned goods or for allowances given to customers for defective or unsatisfactory merchandise.