An external event involving a transfer or exchange between two or more entities or parties is called a(n)
A) account.
B) transaction.
C) ledger.
D) accounting system.

Question

Quizplus · Accepted Answer

A transaction involves the transfer or exchange of something between two or more entities or parties. An account is a record of financial transactions, a ledger is a book or system of recording financial transactions, and an accounting system is a set of procedures used to record and report financial information. None of these specifically refer to an external event involving a transfer or exchange.

An External Event Involving a Transfer or Exchange Between Two