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Credit terms for a purchase include the amounts and timing of payments from a buyer to a seller.

Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check. Ryan’s June bank statement shows $18,361 on deposit in the bank. Ryan’s comparison of the bank statement to its cash account revealed the following:       Deposit in transit 1,450 Outstanding checks 837 Additionally, a $29 check written and recorded by the company correctly was recorded by the bank as a $92 deduction. The adjusted cash balance per the bank records should be:

A voucher is an internal document or file:

Morgan, Inc. uses a perpetual inventory system and the net method of recording purchases. On May 12, a merchandise purchase of $15,000 was made on credit, 2/10, n/30. The journal entry to record this purchase is:

A retailer buys products from manufacturers and sells them to wholesalers.

The Cash Over and Short account:

Most large thefts occur from payment of fictitious invoices, which makes control of cash disbursements especially important for companies.

The clerk who has access to the cash in the cash register should also have access to the cash register tape or file.

The number of days’ sales uncollected:

Which of the following events would cause a bank to debit a depositor’s account?