Credit transactions

a transaction in which goods and services are provided now and paid later is a ....

• cash transaction

• credit transaction

• illegal transaction

• theft

The source document for a credit transaction is ...

• a receipt

• a cheque

• a memorandum

• an invoice

Customers that owe a business money are called

• accounts payable

• accounts receivable

• assets

• Liabilites

Accounts payable are treated as ....

• assets

• liabilities

• current assets

• current liabilities

Suppliers that a business owes money are called ...

• accounts receivable

• accounts payable

• liabilites

• assets

Accounts receivable are treated as....

• assets

• liabilities

• current assets

• current liabilities

Source documents are vital in ensuring....

• relevance

• verifiability

• faithful representation

• comparability

A sales invoice verifies ....

• cash sale

• cash purchase

• credit purchase

• credit sale

A purchase invoice involves a

• cash purchase

• cash sale

• credit purchase

• credit sale

One of the most important items on an Invoice is the ....

• amount

• date

• terms

• GST