transaction-type

Vocabulary Word

Definition

'Transaction-type' refers to the classification of a business transaction based on its nature. Examples might include a sales transaction, a purchase transaction, or a rent transaction. It tells us more about what is happening in the transaction.

Examples in Different Contexts

In accounting, transaction type is used to categorize financial activities for record-keeping and reporting purposes. An accountant might say, 'Accurately categorizing transaction types is crucial for preparing financial statements and tax documents.'

Practice Scenarios

Retail

Scenario:

With a shift towards digital payments, we may want to explore different ways to accommodate our customer's payment preferences.

Response:

Agreed. By understanding the transaction-type preference of our customers, we can provide a more gratifying shopping experience.

Banking

Scenario:

Our client appears to be making numerous overseas payments. We may want to offer a solution that better suits their needs.

Response:

Proceeding after identifying the transaction-type will let us suggest more suitable banking services for our client.