Term 'Credit' means _____ by the business
A. Receiving of benefits
B. It has no effect on business
C. Providing benefits
D. It depends upon items
Answer: Option A
Solution(By Examveda Team)
Term 'Credit' means Receiving of benefits by the business. The terms which indicate when payment is due for sales made on account (or credit).This Question Belongs to Commerce >> Accounting
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Accounting provides information on
A. Cost and income for managers
B. Company's tax liability for a particular year
C. Financial conditions of an institutions
D. All of the above
The long term assets that have no physical existence but are rights that have value is known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
The assets that can be converted into cash within a short period (i.e. 1 year or less) are known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
Patents, Copyrights and Trademarks are
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
According to double entry bookkeeping,
What comes In is debit and what goes Out is credit.
So credit means what goes Out... means a business is providing benefits to someone.
So I think the answer would be .... Providing benefits...
Please guide me if my understanding goes wrong...