Michael Works in an Insurance Firm

question 51

Multiple Choice

Michael works in an insurance firm.He handles all the formalities of insurance policies bought by the clients.Michael's role is similar to that of a(n) in a buying centre.

• A)buyer
• B)user
• C)decider
• D)influencer
• E)agent

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Definitions:

Periodic Inventory System

A method of tracking inventory where physical counts are conducted at certain intervals to determine the level of inventory and the cost of goods sold.

Cost of Sale

The direct costs attributed to the production of the goods sold by a company.

Merchandise Inventory

Goods that a company has in stock and available for sale, listed as an asset on the balance sheet.

Periodic Inventory System

A periodic inventory system is a method of inventory valuation where a physical count of inventory is performed at specific intervals to determine the ending inventory balance and the cost of goods sold.