A Subsidiary Ledger That Contains a Separate Account for Each

question 109

Multiple Choice

A subsidiary ledger that contains a separate account for each supplier of the company is a(n) :

• A)Controlling account
• B)Accounts receivable ledger
• C)Accounts payable ledger
• D)General ledger
• E)Special journal

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Definitions:

Trade Discount

A reduction in price offered by a seller to a buyer for purposes of increasing sales, typically calculated as a percentage off the list price.

Trade Discount

A deduction from the list price of goods agreed upon by the seller and the buyer, typically offered by suppliers to retailers.

Trade Discount

A reduction granted by a supplier on the list or catalog prices of goods or services, often based on the volume of transactions.

Trade Discount

A reduction in the retail price of goods, granted by the wholesaler or manufacturer to the retailer for the purpose of resale.