Conner Brandshaw Is Investigating the Feasibility of a New Type

question 6

Multiple Choice

Conner Brandshaw is investigating the feasibility of a new type of electronic game targeting middle school and high school-age boys. Which of the following is an example of "gumshoe research" that Conner could conduct to get a sense of the likely demand for his game?

• A) Download electronic games industry reports from the Internet.
• B) Administer a buying intentions survey.
• C) Administer a concept test.
• D) Look at the Web sites of a number of companies that sell electronic games.
• E) Spend several days in electronic games arcades and stores to observe the types of games that attract the interest of middle school age and high school age boys.

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Definitions:

Inventory Shrinkage

The loss of products between purchase from supplier and sale to customer, often due to theft, damage, or errors.

Adjusting Entry

A journal entry made in the accounting records at the end of an accounting period to allocate income and expenditure to the correct period.

Periodic Inventory System

An accounting method that determines inventory levels and cost of goods sold at the end of an accounting period through physical counting.

Purchases Discounts

Reductions in price given by suppliers on goods and services purchased, typically awarded for early payment.