The Luxnet division of the WSH Corporation publishes college textbooks. Luxnet employs about 20 senior editors, each

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The Luxnet division of the WSH Corporation publishes college textbooks. Luxnet employs about 20 senior editors, each of whom manages the production of several different textbooks. In the production of a textbook, editors usually request several manuscript reviews from different college professors, with each professor being paid a fee for the service. Each senior editor is given a yearly budget that is to be spent for manuscript reviews. Senior editors select professors whom they think will provide useful reviews. Requests for manuscript reviews are made by sending a letter that specifies the general terms and the fee to be paid. If the professor agrees to perform a review, a signed copy of the letter is returned to the editor. The editor then forwards the manuscript to the professor for review. When the professor’s review is received, the editor sends a memo to accounts payable indicating the account number charge, the professor’s name and address, and the amount to be paid. Accounts payable prepares a check for the amount indicated and forwards it to the editor for delivery to the professor.


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Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Accounting Information Systems

ISBN: 9780132871938

11th Edition

Authors: George H. Bodnar, William S. Hopwood

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