At the End of the Day, the Cash Register's Record

question 91

Multiple Choice

At the end of the day, the cash register's record shows $2,050, but the count of cash in the cash register is $2,058. The correct entry to record the cash sales is

• A) Debit Cash $2,058; credit Sales $2,058.
• B) Debit Cash $2,050; debit Cash Over and Short $8; credit Sales $2,058.
• C) Debit Cash Over and Short $8, credit Sales $8.
• D) Debit Cash $2,058; credit Cash Over and Short $8; credit Sales $2,050.
• E) Debit Cash $2,050; credit Sales $2,050.

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Definitions:

Operating Income

Earnings generated from the core business operations, excluding expenses and revenues from non-operating activities.

Profit Margin

Profit margin is a financial ratio that measures the percentage of revenue remaining after all expenses have been deducted. It is a key indicator of a company's financial health and pricing strategy.

Return on Investment

A financial metric that calculates the profitability of an investment by dividing the net profit by the initial cost.

Support Department Allocations

The process of distributing overhead costs from support departments to producing departments based on predetermined criteria.