"The Procedure for Reducing the Number of Digits Reported After

question 1

Multiple Choice

"The procedure for reducing the number of digits reported after a decimal point where a calculation produces more digits than necessary." What procedure is this a glossary definition of?

• A)Recallibration.
• B)Rounding.
• C)Squaring.
• D)Simplification.
• E)Shortening.

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Definitions:

Contra Accounts

Accounts used in the accounting ledger to reduce the value of a related account when the two are netted together.

Perpetual Inventory

An inventory management system where updates are made continuously as inventory items are bought and sold.

Cash Sales

Transactions in which the buyer pays for a good or service at the time of the sale with cash or its equivalent.

Cost of Merchandise

The total expense incurred by a business to buy or produce the goods it has sold during a specific period.