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Flashcards in Receivables Deck (5)
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1

What type of discount is a trade discount?

Quantity

2

What type of discount is a cash discount

Sales

3

Name the two methods of recording receivables

1. Gross
2. Net

4

Define Gross Method

records receivables at gross invoice price (before cash discount)

5

Define Net Method

records receivables at the net invoice price (after cash discount)