The Customer Master Record is the key information the business requires before engaging in a business transaction. The information normally includes: business ship to and bill to, copy of sales and use tax exemption form, key contact information, etc. Entering all the information about a customer is entered into the system before making transactions insures that subsequent transactions or inquiries will have consistent data, reports, and analyses can be done in an orderly way. All Master Records can be edited or changed when necessary.

The hiring authority would like to see how well you understand basic accounting terminology. Briefly describe the purpose of a Customer Master Record, and what type of information should be stored in the CMR. Also, discuss why an accurate Customer Master Record is essential for a business to keep.

"In my current position we keep Customer Master Records on everyone with whom we do business. The critical information included in these digital records consists of shipping and billing addresses, sales tax information, credit references, payment terms, primary contact information, and all signed documents. This record is essential for business operations to run smoothly, and for the accuracy of accounts."