The amount of sales tax collected is a:

a. liability to the business collecting the tax

b. expense to the business collecting the tax

c. revenue to the business collecting the tax

d. profit to the business collecting the tax

A business makes a sale on account and the customer returns the item. When recording the return, the business issues a

a. sales invoice

b. sales credit

c. credit memorandum

d. debit memorandum

The total of the accounts receivable subsidiary ledger should equal:

a. the sales on account for the month less the cash received from the credit customers

b. the sales on account less the sales discounts taken

c. the sales on account less the sales returns and allowances

d. the sales on account less the discounts and returns and allowances taken less the cash received from the credit customers

The entries in the sales journal must also be recorded separately to:

a. the accounts receivable general ledger account

b. the accounts receivable subsidiary ledger accounts

c. the accounts receivable controlling account

d. the sales account

A single summarizing account in the general ledger, summarizing all the accounts in a subsidiary ledger such as accounts receivable, is referred to as a:

a. summary account

b. contra-account

c. general account

d. controlling account