Litten Enterprises Received Payment in Full from a Customer Who

question 56

Multiple Choice

Litten Enterprises received payment in full from a customer who had purchased goods on credit.Assuming the use of special journals,this entry would be recorded in the:

• A)sales journal.
• B)general journal.
• C)purchases journal.
• D)cash receipts journal.

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Definitions:

Administrative Costs

Expenses related to the general operation of a business, including office management, clerical work, and executive salaries, that do not directly contribute to production or sales.

Sales Organization

A sales organization is the structure of the team within a business that is responsible for selling the company’s products or services, including roles, policies, and strategies to achieve sales goals.

Duplication Of Selling

The strategy of selling the same product or service multiple times or through various channels, often to maximize profit or market penetration.

Consultative Selling

A sales approach emphasizing the identification and addressing of customer needs and problems, establishing a consultative relationship rather than making a direct sale.