Indicate Whether Each of the Following Statements About Accepting Credit

question 42

Short Answer

Indicate whether each of the following statements about accepting credit cards from customers is true or false.
1. A benefit of accepting credit cards is that there is no associated cost to the merchant
2. A benefit of accepting credit cards is that increased sales may be generated
3. The entry to record a credit card sale increases total assets and increases total equity
4. The income statement is not affected when the receipt of cash from the credit card company is recorded
5. When recording the collection of cash from the credit card company, the entry acts to increase cash and increase revenue

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Definitions:

Behavioural Modelling

Involves using various models to predict or understand human behavior in different environments or situations.

Information Giving

The process of disseminating information to individuals or groups, often an essential component of communication within and outside an organization.

Relationship Competencies

The skills and abilities relevant to building, maintaining, and effectively managing interpersonal relationships.

Home-Country Nationals

Employees who are citizens of the country where the multinational company is headquartered, often working internationally in its foreign offices or branches.