Chapter 10 Review

A form prepared by the vendor showing the amount deducted for returns and allowances.

• Credit Memorandum
• Terminal Summary
• Sales Return
• Sales Allowance
• Sales Tax

A person or business to whom merchandise or services are sold.

• Customer
• Terminal Summary
• Sales Return
• Sales Allowance
• Sales Tax

A cash discount on sales taken by a customer.

• Sales Discount
• Terminal Summary
• Sales Return
• Sales Allowance
• Sales Tax

Credit allowed a customer for the sales price of merchandise that is not returned, resulting in a decrease in the vendor's accounts receivable.

• Sales Allowance
• Terminal Summary
• Sales Return
• Sales Tax
• Customer

Credit allowed a customer for the sales price of returned merchandise, resulting in a decrease in the vendor's accounts receivable.

• Sales Return
• Terminal Summary
• Sales Allowance
• Sales Tax
• Customer

A tax on a sale of merchandise or services.

• Sales Tax
• Terminal Summary
• Sales Return
• Sales Allowance
• Customer

The report that summarizes the cash and credit card sales of a point-of-sale terminal.

• Terminal Summary
• Sales Return
• Sales Allowance
• Sales Tax
• Customer

Credit may be granted to a customer only when merchandise is returned.

• True
• False

The revenue account Sales has a normal credit balance.

• True
• False

The total of a terminal summary can be recorded as a single cash sales transaction.

• True
• False