Ch 16 Section 1 Review

Front

What is used by the owners and managers to make decisions about the business? Options: Tax forms, Adjusted Trial Balance, Financial Statements

Back

Financial Statements

Front

Which Accounting concept is it when financial information must be reported the same from one fiscal period to the next?

Back

Consistent Reporting

Front

What is the term for revenue earned by a business from its normal business operations?

Back

Operating Revenue

Front

How do you calculated net sales?

Back

Sales - Sales discount + Sales return and allowance

Front

The original price of all merchandise sold during a fiscal period is

Back

Cost of merchandise sold

Front

What is the operating Revenue remaining after the cost of merchandise sold has been documented?

Back

Gross profit

Front

These are expenses incurred by a business in its normal operations: Operating expenses, Operating revenue, Income from operations

Back

Operating expenses

Front

What is the operating revenue remaining after the cost of merchandise sold and operating expenses have been deducted?

Back

Income from operations