Key Terms
The key terms used in the unit are listed below:
- Cash Receipts Journal: A cash receipts journal is used to record all cash receipt transactions.
- Schedule: Accountants prepare a schedule for each subsidiary ledger to determine whether the subsidiary ledger’s sum equals the controlling account’s ending balance.
- Internet Sales: Internet sales are a recent method of selling products with little expense and effort over the Internet. Despite the reduced cost of internet sales for the merchant (e.g., since a physical store is not required), special measures are required to ensure security and guard against fraud.