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Basic bank services do not include:

Canceled checks are checks the bank has paid and deducted from the customer’s account during the period.

Technologically advanced accounting systems rarely need monitoring for errors because computers always process transactions correctly.

Juniper Company uses a perpetual inventory system and the gross method of accounting for purchases. The company purchased $9,750 of merchandise on August 7 with terms 1/10, n/30. On August 11, it returned $1,500 worth of merchandise. On August 16, it paid the full amount due. The amount of the cash paid on August 16 equals:

The expense recognition (matching) principle permits the use of the direct write-off method of accounting for uncollectible accounts when bad debts are very large in relation to a company’s other financial statement items such as sales and net income.

The formula for computing interest on a note is: Principal of the note × Annual interest rate × Time expressed in fraction of year.

The notes receivable account of a business should include both the notes that have not yet matured and the dishonored notes.

Sales of $350,000 and net sales of $323,000 could reflect sales discounts of $27,000.

Money orders, cashier’s checks, and certified checks are all examples of cash.

Expenses to promote sales by displaying and advertising merchandise, make sales, and deliver goods to customers are known as: