Normal Account Balances Are on the Increase Side of the Accounts

question 136

True/False

Normal account balances are on the increase side of the accounts.

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Definitions:

Discount

A reduction in the price of goods or services, usually offered to encourage purchase or provided for early payment.

Sales Tax

A tax imposed by a government on the sale of goods and services.

Credit Period

Length of time allowed for payment of goods sold on account.

Discount Period

The time frame in which a payment can be made at a reduced rate.