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Even Though Commissions Are Often Based on a Percentage of Dollar

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Multiple Choice

Even though commissions are often based on a percentage of dollar sales, they can be based on _____________ instead.


Definitions:

Subsidiary Ledgers

Detailed ledgers that contain information about specific accounts, which then are summarized in a single control account in the general ledger.

General Ledger

A master accounting document providing a complete record of all the financial transactions of a business.

Subsidiary Posting

The process of transferring summary totals from the journal into the respective ledger accounts.

General Ledger

A comprehensive log of every financial transaction throughout a company's existence.

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