What Is the Term Used for Intercompany Transactions from a Parent

question 33

Multiple Choice

What is the term used for intercompany transactions from a parent to a subsidiary?

• A) Horizontal transfer
• B) Downstream transfer
• C) International transfer
• D) None of the above

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Definitions:

Trial Balance

A report that lists all the balances of the general ledger accounts to check the correctness of bookkeeping entries.

Entry Posted

The action of recording an accounting entry in the ledger, which finalizes the transaction and makes it part of the financial records.

Debit

A bookkeeping record that causes assets to go up or liabilities to go down on a firm's balance sheet.

Equipment

denotes tangible assets used in operations, such as machinery or office equipment, which have a useful life beyond one accounting period.