An accounting method that updates the accounting records for merchandise transactions only at the end of a period. A notification that the sender has debited the recipient's account kept by the sender. The time period in which a cash discount is available and a reduced payment can be made by the buyer. 1. Credit memorandum 2. Credit period v Net sales less cost of goods sold. 3 Credit terms 4. Debit memorandum An accounting method that continually updates accounting records for merchandise transactions. 5. Discount period 6. Gross profit A cash discount granted to customers for paying within the discount period. 7. Periodic inventory system 8. Perpetual inventory system 9. Sales discount The expenses of promoting sales, by displaying and advertising merchandise, making sales, and delivering goods to 10. Selling expenses