A CR5 Posting Reference in a Subsidiary Ledger Signifies That the the ________

question 49

Multiple Choice

A CR.5 posting reference in a subsidiary ledger signifies that the ________.

• A) posting is transferred from the cash receipts journal, page 5
• B) transaction on page number 5 is credited
• C) amount credited is after a 5% discount
• D) sales on credit is expected to be paid within five days

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Definitions:

Strike Price

The predetermined price at which an option's holder has the right to purchase (for a call option) or sell (for a put option) the underlying asset.

Option

An option is a financial derivative that gives the holder the right, but not the obligation, to buy or sell an asset at a predetermined price within a specified timeframe.

European Call Option

A financial contract that gives the buyer the right, but not the obligation, to buy a certain asset at a specified price (strike price) on a specified date.