For a Market for a Good or Service to Exist

question 215

Multiple Choice

For a market for a good or service to exist,

• A)there must be a group of buyers and sellers.
• B)there must be a specific time and place at which the good or service is traded.
• C)the price of the good must be determined by the sellers.
• D)All of the above are correct.

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Definitions:

Fair Value

The approximate value for which an asset or liability might be traded between informed, willing participants in a fair deal.

Grant Date

The date on which an employee is given the option to purchase stock at a set price.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that are becoming the global standard for the preparation of public company financial statements.

Statement of Financial Position

A financial statement detailing an organization's assets, liabilities, and equity at a specific point in time, known as the balance sheet.