Accounting 9.2 vocabulary
Perpetual inventory
An inventory determined by keeping a continuous record of increases, decreases, and the balance on hand of every item of merchandise
Purchase invoice
An invoice used as a source document for recording a purchase on account transaction
Purchase order
A form requesting that a vendor sell merchandise to a business
Requisition
A form requesting the purchase of merchandise
Special amount column
A journal amount column headed with an account title
Special journal
A journal used to record only one kind of transaction
Inventory
A list of assets, usually containing the value of individual items
Periodic inventory
A merchandise inventory evaluated at the end of a fiscal period
Purchase journal
A special journal used to record only purchases of merchandise on account
Purchase on account
A transaction in which the items purchased are to be payed for later
Terms of sale
An agreement between a buyer and a seller about payments for merchandise
Cost of merchandise
The amount a business pays for goods it purchases to sell
Due date
The date by which an invoice must be paid
Merchandise inventory
The goods a business has on hand for sale
Physical inventory
When a periodic inventory is conducted by counting, weighing, or measuring items of merchandise on hand