Which of the Following Events Is Not a Business Transaction

question 215

Multiple Choice

Which of the following events is not a business transaction?

• A) Issuance of stock in exchange for cash.
• B) Hired employees.
• C) Incurred utility expenses for the month.
• D) Earned revenue for services provided.

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Definitions:

Subscriptions Receivable

Amounts owed by customers for subscription services that have been billed but not yet paid.

Stock Warrants

Certificates granting the holder the right to purchase shares of stock at a specified price before a set expiration date.

Option Price

The price at which the holder of an option can buy (in the case of a call option) or sell (in the case of a put option) the underlying asset.

Subscription Contract

An agreement between a provider and a customer for the provision of services or delivery of goods over a specified period in return for payment.