An After-Closing Trial Balance Consists Only of Asset, Liability, and Equity

question 46

True/False

An after-closing trial balance consists only of asset, liability, and equity accounts.

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Definitions:

Net Price Method

The net price method calculates the final price after all discounts, rebates, and allowances have been subtracted from the list price.

Catalog Price

The price listed in a catalog, not accounting for any discounts or promotions.

Credit Terms

Credit Terms are the payment terms and conditions established by a seller, including the period that has to pass before an invoice is considered overdue.

Cost Of Goods Sold

The direct costs attributable to the production of goods sold by a company, including materials and labor.