You Have a Close Friend, Susie, Who Is Planning on Purchasing

question 76

Essay

You have a close friend, Susie, who is planning on purchasing a computer soon. Susie has asked for your input in choosing a system that best meets her needs. Susie is considering purchasing a notebook computer and asks you to explain to her the advantage of owning a notebook computer.

---

Definitions:

Shipping Costs

Expenses associated with the transportation of goods from one location to another, often borne by the seller or buyer as per the sales contract.

Single-Step Income Statement

A simplified financial statement that calculates net income by subtracting expenses from revenues in one step.

Net Income

The final amount a company keeps as profit after paying off all expenses and taxes from its revenues.

FOB Shipping Point

A term in shipping agreements where the buyer is responsible for the goods and their transportation cost as soon as they leave the seller's premises.