Why Aren't Avocados a Good Source of Money

question 32

Multiple Choice

Why aren't avocados a good source of money?

• A) Avocados are not a good medium of exchange.
• B) Avocados wouldn't store value for a long time.
• C) Avocados have no common unit of account.
• D) None of these are true.

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Definitions:

Beginning Inventory

The inventory on hand at the start of an accounting period, which is the ending inventory of the previous period.

Ending Inventory

The total value of all unsold goods remaining at the end of an accounting period.

Product B

A placeholder name often used to refer to a secondary product in examples or case studies.

Sales on Account

Transactions where goods or services are sold and payment is deferred, creating accounts receivable.