To Maximize Profit or Reduce Dollar Losses When You Sell

question 99

Multiple Choice

To maximize profit or reduce dollar losses when you sell your investments, it is important to do all of the following except

• A) Keep purchase records of actual dollar costs.
• B) Keep accurate records to help you spot opportunities for when to sell.
• C) Identify and document commissions or fees paid.
• D) Keep a list of sources of information (such as Internet addresses) for reference.
• E) Identify the actual dollar cost of the investments after you sell them.

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Definitions:

Cash Payments Journal

A special journal used in accounting to record all transactions that involve payments made by a company.

Supplies

Supplies refer to items consumed or used in the day-to-day operations of a business, often not directly linked to the products being sold.

Advance Payment

Advance Payment is the money paid before it is due or before the goods or services are received, often used to secure orders or as a guarantee against non-payment.

Subsidiary Ledger

A secondary ledger that provides detailed information to support accounts listed in the general ledger, such as customer or vendor details.