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A sale "on account" would usually refer to a transaction where goods or services are transferred (sold) to a customer (buyer) on credit terms (to be paid for later at a specific time).
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∙ 10y ago
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Which part of the accounting equation does a sale on account effect?
by sale on account you mean goods sold to the costumer but the cash was not received immediately. the accounting equation for credit sales is to CR the revenue/sales/turnover in your income statement. DR the receivables account on the balance sheet. after the cash is received. CR the receivables account. DR the cash account.
Is account sales a nominal account?
no sales is not a nominal account. because nominal account says" debit all expenses and credit all income and gain account. " all things which are tangible is call real account. u can touch the goods which are going to sale. Sale is nominal account as sale generally have some element of profit. This is the good reason to treat the sale as nominal account.
Is it true that owners equity is decreased by a sale on account?
Not true, unless the sale on account is (1) the only sale during the financial period and (2) occurs at a loss.
A sale for which cash will be received at a later date is called a sale on account?
Yes or a Credit Sale
What is a sale to an account receivable customer is made?
After a sale to an A/R Customer is made
What is different between account sale and sale account?
when revenue is earned from charge-account sales, the accountant debits __________ and credits___________
Is account sales a nominal account?
no sales is not a nominal account. because nominal account says" debit all expenses and credit all income and gain account. " all things which are tangible is call real account. u can touch the goods which are going to sale. Sale is nominal account as sale generally have some element of profit. This is the good reason to treat the sale as nominal account.
Which part of the accounting equation does a sale on account effect?
by sale on account you mean goods sold to the costumer but the cash was not received immediately. the accounting equation for credit sales is to CR the revenue/sales/turnover in your income statement. DR the receivables account on the balance sheet. after the cash is received. CR the receivables account. DR the cash account.
When a sale is made on account which account is credited?
Cost of sales
Is it true that owners equity is decreased by a sale on account?
Not true, unless the sale on account is (1) the only sale during the financial period and (2) occurs at a loss.
A sale for which cash will be received at a later date is called a sale on account?
Yes or a Credit Sale
When will fifa 11 be on sale for wii?
You will have to go online and either create an online account or go in the guest account
What balance sheet accounts are affected by the sale of an asset?
Sale of assets reduces the asset account as well as accumulated depreciation account while increases the cash or bank account
What is a sale to an account receivable customer is made?
After a sale to an A/R Customer is made
When a business makes a sale on account which account is debited in the accounting entry?
Cash book
Where would a sale on account be journalized?
Sales journal
Is Loss on sale of asset is an expense account?
yes
