When Updating the General Ledger,sales,purchases,and Production Are Examples of ________

question 37

Multiple Choice

When updating the general ledger,sales,purchases,and production are examples of ________ entries,and issuance or retirement of debt and the purchase or sale of investment securities are examples of ________ entries.

• A)adjusting;controller originated
• B)accounting subsystem;treasurer originated
• C)adjusting;special journal
• D)controller generated;special journal

---

Definitions:

Temporary Working Capital

The additional working capital needed to support fluctuations in business activity during peak periods.

Short-Term Debt

Liabilities or loan obligations that are due to be paid within a year.

Average Collection Period

The average number of days it takes for a company to receive payments owed by its customers for goods or services sold on credit.

Credit Sales

Credit sales are transactions where the buyer is allowed to pay for goods or services at a later date, extending credit.