Charleston, Inc

question 95

Essay

Charleston, Inc. sold 800 contracts at $400 each. Each contract permitted the buyer to use a tin pincher 16 times and a glass finisher 20 times. Cost information follows:
In the first year, the tin pincher was used 4,500 times and the glass finisher was used 4,800 times.
Required:
Fill in the lines below.

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Definitions:

Vouchers Payable

A liability account that records the obligation of the company to pay off a debt, typically for goods or services received.

Vouchers Payable

Vouchers payable is an accounting term for records that detail the amounts owed by a business to its suppliers or vendors for goods or services received.

Liability Account

An accounting record of amounts owed to creditors, representing claims against the company’s assets.

Voucher System

A control process in accounting where vouchers are used to authorize and record transactions before payments are made.