The Coding Scheme Most Appropriate for a Chart of Accounts

question 78

Multiple Choice

The coding scheme most appropriate for a chart of accounts is

• A)sequential code
• B)block code
• C)group code
• D)mnemonic code

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Definitions:

Balance Sheet Methods

Techniques used in preparing and presenting the balance sheet, a financial statement showing a company's assets, liabilities, and equity at a specific point in time.

Receivables Financing

A form of financing where a company uses its accounts receivable as collateral to secure funding from a financial institution.

Maturity Date

The specific date on which a financial instrument (like a bond or loan) becomes due for payment of principal and interest.

Installment Accounts

Installment accounts are credit accounts where the borrower repays the loan amount plus interest in regular payments over a set period.