Match the Terms with the Descriptions Provided

question 95

Multiple Choice

Match the terms with the descriptions provided.
-A reduction in the amount of goods available for sale caused by defective merchandise.

• A)Consignment
• B)Discount period
• C)Inventory
• D)LIFO Reserve
• E)Lower of cost or market rule
• F)Purchase allowance
• G)Purchase discounts
• H)Purchase returns
• I)Purchases

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Definitions:

Continuing Operations

The segments or parts of a business expected to continue operating and contributing to earnings into the foreseeable future.

Layoffs

A reduction in a company's workforce to save costs or due to organizational restructuring.

Cash Flow

The collective sum of money that moves through a business, significantly contributing to its capacity to manage cash flow needs.

Accruals

Accounting method that records revenues and expenses when they are incurred, regardless of when cash transactions occur.