Which of the Following Statements Is True About the Service

question 43

Multiple Choice

Which of the following statements is true about the service industry?

• A) The service industry provides no scope for developing niche strategies.
• B) The service sector is dominated by large companies that prevent small businesses from entering the industry.
• C) The service industry provides low returns on the time invested.
• D) Service businesses require more resources than any other industry.
• E) Service businesses are the fastest-growing segment of small-business enterprise.

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Definitions:

Interest Receivable

The amount of interest that has been earned but not yet received in cash or other forms of payment.

Interest Revenue

Income earned from lending money or investing in interest-bearing financial instruments.

Accrued Interest

Interest that has been earned but not yet received or recorded in the accounts.

Interest Payable

A liability account showing the amount of interest expense that has been incurred but not yet paid as of the balance sheet date.