Ch#11 Accounting

A form prepared by the customer showing the price deduction taken by by the customer for a return or an allowance.

• debit memorandum

• credit memorandum

• price adjustment

An amount earned by a corporation and not yet distributed to stockholders.

• Dividends

• Retained Earnings

• Dividends Payable

A group of persons elected by the stockholders to govern a corporation

• Dividends

• Shareholders

• Board of Directors

Earnings distributed to stockholders

• Retained Earnings

• Dividends

• Dividends Payable

A journal with two amount columns in which all kinds of entries can be recorded

• general journal

• purchase journal

• sales journal

Credit allowed for part of the purchase price of merchandise that is not returned, resulting in a decrease in the customers accounts payable acct.

• Return Allowance

• Purchases Allowance

• Sales Allowance

Credit allowed for the purchase price of returned merchandise, resulting in a decrease in the A.R.

• Purchase Return

• Purchase Allowance

• Sales Return

Credit allowed to a customer for part of the sales price of merchandise that is not returned, resulting in a decrease in the A.R.

• Sales Return

• Sales Allowance

• Purchase Allowance

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

• Debit Memorandum

• Credit Memorandum

• Sales Return form

Action by a board of directors to distribute corporate earnings to stockholders is known as declaring a dividend

• True

• False