Match the Term with Its Definition

question 179

Multiple Choice

Match the term with its definition.(There are more definitions than terms. )
-Credit

• A)A summary of account names and numbers.
• B)A simplified version of an account in the General Ledger.
• C)Compares balance sheet items from two different time periods.
• D)When a dollar value is assigned to an item recorded in the accounting system.
• E)A journal entry that lowers the balance of the account.
• F)An amount that is posted on the left side of a T-account or ledger.
• G)The concept that a company must keep separate accounts by time period.
• H)An amount that is posted on the right side of a T-account or ledger.
• I)Assets are initially recorded at the amount paid to acquire them.
• J)When journal entries are recorded in the appropriate T-account or ledger.
• K)When a company's balance sheet has been verified by an outside auditor.
• L)The principle that a company should use the least optimistic measure,when uncertainty exists.
• M)The concept that any transaction must have at least two effects on the accounting equation.
• N)The mechanism used to record each transaction in the General Journal.

---

Definitions:

Maturity Date

The specific date on which the principal amount of a bond, loan, or other financial instrument is due to be paid in full.

Note Dated

Indicates the specific date on which a note payable, receivable, or other legal financial document becomes effective.

Promissory Note

A financial instrument that contains a written promise by one party to pay another party a definite sum of money either on demand or at a specified future date.

Accounts Receivable

Amounts owed to a business by its customers from sales or services rendered on credit that are expected to be collected in cash.