Review Corporation vs Proprietorship

Goods that a business purchases in order to sell.

• merchandise

• merchandising business

• retail merchandising

  business

• share of stock

A business that buys and resells merchandise primarily to

other merchandising businesses.

• wholesale

  merchandising

  business

• merchandising business

• retail merchandising

  business

• share of stock

An organization with the legal rights of a person which

many persons or other corporations may own.

• wholesale

  merchandising

  business

• merchandising business

• retail merchandising

  business

• corporation

The assets or other financial resources available to a

business.

• capital stock

• capital

• charter

• controlling account

The maximum outstanding balance allowed to a customer by

a vendor.

• capital stock

• credit limit

• charter

• controlling account

A list of assets, usually containing the value of individual items.

• list price

• due date

• general amount column

• inventory

A listing of vendor accounts, account balances, and the total

amount due to all vendors.

• schedule of accounts payable

• price list

• general amount column

• inventory

A corporation can incur liabilities but cannot own property.

• True

• False

When a periodic inventory system is used, the cost of merchandise is recorded to

Purchases.

• True

• False

When a perpetual inventory system is used, purchases of merchandise are accounted for

directly to Merchandise Inventory.

• True

• False