A New Supplier Is Least Likely to Make Which of the Following

question 72

Multiple Choice

A new supplier is least likely to make which of the following types of purchase?

• A) straight rebuy
• B) systems rebuy
• C) modified rebuy
• D) customised order
• E) new task

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Definitions:

Prepaid Rent

The payment made for rent before it's due, recorded as an asset on the balance sheet until it's recognized as an expense in the period to which it relates.

Adjusting Entry

An entry made in the accounts to correct or allocate income and expenses to the appropriate accounting period.

Three Months Rent

An accounting entry typically categorized as a prepaid expense, representing payment for rent before it's due.

Closing Entry

Journal entries made at the end of an accounting period to transfer the balances of temporary accounts to a permanent equity account, thereby preparing the books for the next period.