Today, Rather Than Purchase Goods and Services from a Large

question 206

True/False

Today, rather than purchase goods and services from a large number of firms, manufacturers often try to develop a close relationship with one or two key suppliers.

---

Definitions:

Debits

An entry recorded on the left side of a double-entry bookkeeping system that increases asset or expense accounts, or decreases liability, equity, or income accounts.

Credits

Credits refer to the accounting entry that either increases a liability or equity account, or decreases an asset or expense account.

Customer Transaction

An operation between a business and its customer involving the sale or purchase of goods or services.

Invoices

Documents issued by a seller to a buyer that outline the products or services provided, quantities, prices, and terms of payment.