An Example of a Distribution Intermediary That Actually Takes Ownership

question 12

Multiple Choice

An example of a distribution intermediary that actually takes ownership of the goods it distributes is:

• A) merchant middleman
• B) agent
• C) broker
• D) manufacturer's representative

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Definitions:

Organization Expense

Costs incurred in the creation and organization of a corporation, such as legal fees, that may be amortized over time.

Stock Warrant

A financial instrument that gives the holder the right, but not the obligation, to buy a company's stock at a specific price before a certain date.

Par Preferred Stock

Preferred shares of stock issued at a specified nominal value, known as the par value.

Common Stock Warrants

Financial derivatives that give the holder the right, but not the obligation, to buy a company’s common stock at a specified price within a certain time frame.