Which of the Following Statements Concerning Markets Is False

question 49

Multiple Choice

Which of the following statements concerning markets is false?

• A) Buyers and sellers communicate with each other directly or indirectly about the quality and quantity of the product.
• B) Buyers and sellers discuss, either face to face or through an agent or broker, what they are willing to pay and receive for a good or service.
• C) Black markets deal with exchanges that violate the law.
• D) Markets are always formally organized, like the stock market.
• E) Underground market is the term given to unrecorded transactions, whether legal or illegal.

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Definitions:

Reportable Segment

A part of an organization distinguished by its business activities, products, or services, which is significant enough to require separate financial reporting under financial reporting standards.

Revenues

The total amount of income generated by the sale of goods or services related to the company's primary operations.

Profits

Financial gains obtained when the revenue from business activities exceeds the expenses, taxes, and costs of operating.

Temporary Difference

A discrepancy between the carrying amount of an asset or liability in the balance sheet and its tax base, creating taxable or deductible amounts in the future.