How to compute net credit sales on a balance sheet

Q: Define the following using your own words and give examples To credit Debit Credit

A: Introduction:- Debit column is on the left and the credit column is on the right. Every transaction…

Q: Please help with the calculation of Net profit margin, Gross profit margin, Current ratio, Acid test…

A: Net profit margin = Net profit (loss) / Sales Revenue = - 1410 / 5600 = - 0.25   Given Net income =…

Q: How do I find sales on account from a income statement or balance sheet

A: How do I find sales on account from a income statement or balance sheetSales on account can be…

Q: What is the difference between a credit score(FICO) and a credit report. How/where can you check…

A: Credit Score- It is a number that  helps the lender to evaluate the credit worthiness  of an…

Q: Sales made to Ahmed on credit should be debited to.

A: The phrase "credit sales" alludes to the exchange of possession of products and services to a…

Q: What is the net credit sales?

A: As per the information given,  Net credit sale = Closing balance of Trade and other receivables -…

Q: Define credit terms

A: Credit refers to the amount of money which is lend to the borrower for certain period of time.

Q: Accounts receivable arise from credit sales to customers by both retailers and wholesalers. True or…

A: Accounts Receivables includes Debtors and Bills Receivables.

Q: What is the name of the document used for recording credit sales

A: Credit sales means when goods and services are being sold to customers on credit basis and customers…

Q: How does credit scoring operate, and how are we as consumers and users of credit effected by it?

A: Credit Scoring - Credit scores are calculated with the help of the details of the old payment…

Q: What are credit terms?

A: Credit terms or terms of credit It is the vender purchaser agreement that rundowns the planning and…

Q: Describe the procedure for evaluating a change in credit policyusing the income statement approach.

A: Credit policy: The detailed guidelines of the credit extended to the company which includes factors…

Q: Cash flows from collections on credit sales are usually reported in the statement of cash flows as…

A: Credit sale means that business has sold good on credit. Collection from credit sales means that the…

Q: Using the following transactions what is the total debits and credits?

A: Journal entries refer to recording and classyfing business transactions into books of accounts…

Q: what is credit management

A: Credit Management is a process wherein terms and condition for providing loan is decided, what is…

Q: Define Credit analysis

A: Credit analysis is the method by which the creditworthiness of a business or organization is…

Q: rms: credit transfer, dishonoured cheque, standing order and give examples, the purposes, advantage

A: Credit transfer can refer to: The transfer of money from one account to another, also called a wire…

Q: On a balance sheet what does a line of credit do to the balance sheet does it offset notes payable?

A: A line of credit is an important aspect of accounting in  which the lender and the borrower come…

Q: Explain “Sales Returns and Allowances”. Why does this account have a normal debit balance?

A: Sales Returns and Allowances Sales Return and Allowances is actually a contra revenue account (i.e.…

Q: Sales made to person on credit should be credited to which of following ledger accounts

A: Accounting is essential to operating a company since it allows businesses to track income and…

Q: Define Receivable Management and Credit Policies

A: Receivable Management : managing the outstanding   Credit Policies  : Selling on credit to parties…

Q: Which term is associated with “right” or “right-side”? Debit. Credit.

A: In the T accout format The right side in accounting always represents the credit side of the…

Q: the rules of debit and credit

A: (Note: Since you have posted multiple questions, we will solve the first question for you. For the…

Q: What is the journal entry for recording credit sales? a. Cash Dr. and Sales Cr b. Sales Dr. and…

A: Journal entry for Recording credit sales: Accounts Receivable [Debit]          Sales [ Credit]

Q: Credit entry in a nominal amount is

A: Credit entry in a nominal account is:- Cash account      Debit  Income and Gains account   Credit

Q: How credit ratings companies evaluate and determine credit for consumers?

A: Credit rating is referred as the opinion derived from the credit agency which determines the ability…

Q: How do each of the items in a firm’s credit policy—defined to include the credit period, the…

A: Strong credit policy indicates the effectiveness of credit management. The four components of credit…

Q: Explain how to calculate day’s sales in receivable.

A: Average collection period: Average collection period indicates the number of days taken by a…

Q: Which of the following journal entry is correct for the transactions of goods returned by a…

A: When we make a sales to customer, we pass the following entry:- Trade receivables  Dr           To…

Q: Accounting Elements that affect receivables - discount, returns and valuations

A: Accounting elements that affect Receivables, discount,returns and valuations are credit…

Q: Define each of the following terms:i. Credit policy; credit period; credit standards; collection…

A: CREDIT POLICY- ''Guidelines that spell out a way to decide which customers area unit sold-out on…

Q: What is a credit limit? How does it impact credit utilization (debit-credit ratio) and why is that…

A: Credit Limit :- Credit limit is an limit of spending on an Customer or its the maximum credit can a…

Q: ence between yo

A: Introduction : In simple words, the ability of an individual to purchase a commodity with the intent…

Q: How to calculate net sales revenue and net purchases

A: The income statement is one of the financial statements of the business which is prepared to know…

Q: The journal entry to record the sale of services on credit should include: a debit to Cash and a…

A: There are three golden rules in accounting for recording the transaction : Debit what comes in ,…

Q: How do you get the total for accounts recievable turnover

A: Accounts Receivables Turnover Ratio represents the rate at which cash is accounts receivable is…