Solved

Match the Following Terms a Through J with the Appropriate

Question 191

Matching

Match the following terms a through j with the appropriate definition 1 through 10.

Premises:

Responses:

A document signed by the depositor instructing the bank to pay a specified amount to a designated recipient.

Cash

An expense resulting from failure to take advantage of cash discounts on purchases.

Liquid assets

The buyer or purchaser of goods or services.

Purchase requisition

An internal document listing the goods needed by a department and requesting that it be purchased.

Invoice

An itemized statement of goods prepared by the vendor that lists the customer's name, the items sold, the sales price of each item, and the terms of sale.

Check

Currency, coins, and amounts on deposit in bank checking and many savings accounts.

Vendee

The seller of goods or services.

Internal control system

All the policies and procedures managers use to protect assets, ensure reliable accounting, promote efficient operations, and urge adherence to company policies.

Cash equivalent

Short-term, highly liquid investments that are readily convertible to a known cash amount and are sufficiently close to their maturity date so that the market value is not sensitive to interest rate changes.

Vendor

An asset such as cash that can be readily used to settle near-term obligations.

Discounts lost

Premises:

A document signed by the depositor instructing the bank to pay a specified amount to a designated recipient.

An expense resulting from failure to take advantage of cash discounts on purchases.

The buyer or purchaser of goods or services.

An internal document listing the goods needed by a department and requesting that it be purchased.

An itemized statement of goods prepared by the vendor that lists the customer's name, the items sold, the sales price of each item, and the terms of sale.

Currency, coins, and amounts on deposit in bank checking and many savings accounts.

The seller of goods or services.

All the policies and procedures managers use to protect assets, ensure reliable accounting, promote efficient operations, and urge adherence to company policies.

An asset such as cash that can be readily used to settle near-term obligations.

Responses:

Cash

Liquid assets

Purchase requisition

Invoice

Check

Vendee

Internal control system

Cash equivalent

Vendor

Discounts lost

Correct Answer:

Premises:

Responses:

A document signed by the depositor instructing the bank to pay a specified amount to a designated recipient.

An expense resulting from failure to take advantage of cash discounts on purchases.

The buyer or purchaser of goods or services.

An internal document listing the goods needed by a department and requesting that it be purchased.

An itemized statement of goods prepared by the vendor that lists the customer's name, the items sold, the sales price of each item, and the terms of sale.

Currency, coins, and amounts on deposit in bank checking and many savings accounts.

The seller of goods or services.

All the policies and procedures managers use to protect assets, ensure reliable accounting, promote efficient operations, and urge adherence to company policies.

An asset such as cash that can be readily used to settle near-term obligations.