Which Example Best Demonstrates Form Utility

question 7

Multiple Choice

Which example best demonstrates form utility?

• A) a smartphone with a multitouch user interface for easy navigation
• B) stamp vending machines that are located in drugstores
• C) a service station that has a 24-hour ice machine available for use when the station is closed
• D) a mobile phone company that offers six-month financing, same as cash
• E) a gourmet candy store that offers a home delivery service

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Definitions:

Invoice Discount

A reduction in the billed price granted to customers, often used as an incentive for early payment.

Credit Terms

The agreement between a buyer and a seller that outlines the payment terms for goods or services, including the due date and any interest or penalties for late payment.

FOB Shipping Point

A term indicating that the buyer assumes responsibility for the goods and shipping costs once the goods leave the seller's premises.

Perpetual Inventory

An inventory management system where updates are made continuously to reflect items added or sold, providing a real-time view of inventory levels.