Goods Purchased for Future Use in the Business, Such as Supplies

question 186

Multiple Choice

Goods purchased for future use in the business, such as supplies, are called:

• A)prepaid expenses.
• B)revenues.
• C)stockholders' equity.
• D)liabilities.

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Definitions:

RAM

Random Access Memory, a type of computer memory that is used to store data temporarily, making it faster to access than disk memory.

ROM

Read-Only Memory, a type of non-volatile storage medium that is used primarily in computers and electronic devices to store firmware or software that is rarely changed.

Primary Storage

The main storage area in a computer system, typically RAM, where the operating system, application programs, and data in current use are kept so they can be quickly reached by the computer's processor.

Secondary Storage

A type of computer storage separate from the main memory, used for keeping data and programs permanently, often referred to as external or auxiliary storage.