Which of the Following Statements Is LEAST-Likely True

question 8

Multiple Choice

Which of the following statements is LEAST-Likely true?

• A) List price is the price that the wholesale auto repair customer pays.
• B) Service stations often buy TBA at very good discounts through the oil company whose products they sell.
• C) Some items like oil, oil filters, and coolant, are priced by most establishments with little or no markup, because most customers are aware of their prices.
• D) Jobbers are sometimes affiliated with cooperative groups.

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Definitions:

Dividend Yield

The ratio of a company's annual dividend payments to its share price, indicating the earnings from investment in stocks as a percentage.

Acid-test Ratio

A liquidity measurement that evaluates whether a company can pay its short-term obligations using its most liquid assets, typically excluding inventory.

Accrual-Based

An accounting method where revenue and expenses are recorded when they are earned or incurred, regardless of when cash transactions occur.

Transactional Approach

An accounting method focusing on the individual transactions and events that have a financial impact on a company, analyzing each separately.