Blazer Communications, a Digital Content Provider, Is Experiencing Intense Competition

question 39

Multiple Choice

Blazer Communications, a digital content provider, is experiencing intense competition from a number of new entrants into their marketspace.In an effort to determine which customer are at risk of not renewing their contract, the CFO has asked the comptroller to perform an analysis to identify vulnerable customers based on past payment history, renewal patterns, and the like.This type of analysis would be characterized as:

• A)Prescriptive
• B)Predictive
• C)Descriptive
• D)Directive

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Definitions:

Periodic Inventory System

An accounting system that records inventory purchases during the accounting period but waits until the end of the period to adjust the inventory balances and record cost of goods sold.

Gross Method

An accounting practice for recording the full invoice amount of a sale without deducting any discounts offered.

Merchandise Return

The process by which a customer returns previously purchased merchandise back to the seller, often due to defects or dissatisfaction.

Perpetual Inventory System

A technique in inventory accounting that uses computerized point-of-sale systems and enterprise asset management software for the immediate recording of inventory transactions.