PartnershipPartnership PartnerPartner Merchandising businessMerchandising business Retail merchandising businessRetail merchandising business MerchandiseMerchandise Wholesale merchandising businessWholesale merchandising business General amount columnGeneral amount column Special journalSpecial journal Cost of merchandiseCost of merchandise MarkupMarkup VendorVendor Purchases journalPurchases journal Special amount columnSpecial amount column Purchase invoicePurchase invoice Terms of saleTerms of sale Cash payments journalCash payments journal

A business in which two or more persons combine their assets and skills

Each member of a partnership

A business that purchases and sells goods

A merchandising business that sells to those who use or consume the goods

A business that buys and resells merchandise to retail merchandising businesses

Goods that a merchandising business purchases to sell

A journal used to record only one kind of transaction

A special journal used to record only purchases of merchandise on account

A special journal used to record only cash payment transactions

A journal amount column that is not headed with an account title

The amount added to the cost of merchandise to establish the selling price

A business from which merchandise is purchased or supplies or other assets are bought

An agreement between a buyer and a seller about payment for merchandise

The price a business pays for goods it purchases to sell

A journal amount column headed with an account title

An invoice used as a source document for recording a purchase on account transaction

New Account Purchases –Records cost of merchandise purchased –Normal debit balance –Cost Account –Temporary Account

Old Account Accounts Payable –Normal ________ balance (debit or credit) –Increased by a _________ –Decreased by a ________

New Journals Purchases Journal –Only records PURCHASES of merchandise on ACCOUNT Cash Payments Journal –Use anytime you write a check (pay cash) General Journal –Use anytime you can’t use a special journal

Which journal? Purchased merchandise on account Purchased merchandise for cash Paid cash for office supplies Paid cash on account Paid cash for advertising Partner withdrew cash for personal use Partner withdrew merchandise for personal use