The Factor Which Determines Whether or Not Goods Should Be

question 90

Multiple Choice

The factor which determines whether or not goods should be included in a physical count of inventory is

• A)physical possession.
• B)ownership.
• C)management's judgement.
• D)whether or not the purchase price has been paid.

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Definitions:

Borrowing

The act of obtaining funds from a lender under the agreement to repay with interest.

Par Value

A nominal value assigned to a security, such as a share of stock, representing the minimum price at which the security can be issued.

Premium

An amount paid in addition to the standard or expected cost, often for insurance coverage or higher quality goods and services.

Convertible Bonds

Bonds that can be converted into a predetermined number of the issuing company's equity shares at certain times during the bond's life, usually at the discretion of the bondholder.