Ingrid, Bridgit, and Manuel Want to Start a Business Selling

question 61

Multiple Choice

Ingrid, Bridgit, and Manuel want to start a business selling used computers. Which of the following statements respecting their possible business name is true?

• A)They can use the name "I.B.M. Used Computers" because they are using the initials of their own first names.
• B)They cannot use the name "I.B.M. Used Computers" because they are not incorporated.
• C)They can use the name "I.B.M. Used Computers" if they apply to incorporate the business.
• D)They can use the name "I.B.M. Used Computers" if they register the name as a partnership.
• E)They cannot use the name "I.B.M. Used Computers" because it would likely mislead the public.

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Definitions:

Net Sales

Net sales is the revenue from sales of goods or services after subtracting returns, allowances for damaged or missing goods, and discounts.

Inventory Available

The total quantity of goods a company has on hand for sale at any given time, including both finished goods and goods in production.

Current Asset

Assets that are expected to be converted into cash, sold, or consumed within one year or within the company’s normal operating cycle if longer.

Plant and Equipment

Plant and Equipment are long-term assets used in the operation of a business, not intended for resale, including machinery, buildings, and vehicles.