A Drought in the Corn Belt Will Result In

question 20

Multiple Choice

A drought in the corn belt will result in:

• A) higher grain prices and higher quantities of grain
• B) higher grain prices and higher fertilizer demand
• C) lower grain prices and lower quantities of grain
• D) higher grain prices and lower quantities of grain

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Definitions:

Cash Sale Return

The process of refunding a customer in cash for the return of goods previously purchased with cash.

Cash Payments Journal

An accounting journal used to record all cash payments made by a company, including expenses and debtor payments.

Control Account Balance

Refers to the total balance in a general ledger account that summarizes the balances of subsidiary ledger accounts.

Subsidiary Ledger

A ledger containing the details to support a summary line item in the General Ledger, such as accounts receivable or accounts payable.