Accounting Chapter 10: Journalizing Purchases and Cash Payments Using Special Journals
vendor
a business from which merchandise is purchased or supplied or other assets are bought
partnership
a business in which two or more persons combine their assets and skills
wholesale merchandising business
a business that buys and resells merchandise to retail merchandising businesses
merchandising business
a business that purchases and sells goofs
special amount column
a journal amount column headed with an account title
general amount column
a journal amount column that is not headed with an account title
special journal
a journal used to record only one kind of transaction
retail merchandising business
a merchandising business that sells to those who use or consume the goods
cash payments journal
a special journal used to record only cash payment transactions
purchase journal
a special journal used to record only purchases of merchandise on account
terms of sale
an agreement between a buyer and a seller about payment for merchandise
purchase invoice
an invoice used as a source document for recording a purchase on account transaction
markup
the amount added to the cost of merchandise to establish the selling price
cost of merchandise
the price a business pays for goods it purchases to sell
historical cost
when the actual amount paid for merchandise or other items bought is recorded
partner
each member of a partnership
cash receipts journal
for all cash receipts
general journal
for all other transactions
sales journal
for all sales of merchandise on account
merchandise
goods that a merchandising business purchases to sell