Given the Data Below for a Firm in Its First

question 179

Multiple Choice

Given the data below for a firm in its first year of operation, determine net income under the cash basis of accounting. $$\begin{array} { l r } \text { Revenue earned } & \$ 16,000 \\\text { Accounts receivable } & 3,000 \\\text { Expenses incurred } & 7,250 \\\text { Accounts payable (related to expenses) } & 750 \\\text { Supplies purchased with cash } & 1,800\end{array}$$

• A) $6,500
• B) $11,000
• C) $4,700
• D) $6,950

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Definitions:

Purchase Environment

The physical and psychological setting in which a consumer buys products or services, including the retail atmosphere and online shopping platforms.

Antecedent States

These are the conditions or states of individuals (such as mood, emotions, or physical condition) that exist before encountering a marketing stimulus.

Sales Interactions

Exchanges between a salesperson and a customer that aim to address the customer's needs and result in a sale.

Orderly Fashion

A method or process that is organized and follows a systematically arranged sequence.