The classes of transactions in the acquisition and payment cycle include acquisition of goods:
A) and services.
B) only.
C) and services, and cash payments.
D) and services, cash payments, and purchase returns and discounts.

Question

Quizplus · Accepted Answer

The acquisition and payment cycle involves not only the acquisition of goods and services, but also the subsequent payments made for these goods and services, as well as any purchase returns and discounts that may occur. Therefore, option D is the best choice.

The Classes of Transactions in the Acquisition and Payment Cycle