To Substantiate an Advertisement, the Federal Trade Commission and Courts

question 105

Multiple Choice

To substantiate an advertisement, the Federal Trade Commission and courts tend to use each of the following principles except:

• A)the federal government assumes consumers read ads "broadly" and do not notice details hidden in fine print.
• B)tests have to be with the actual product or one that is considered similar.
• C)evidence should come from individuals or companies that would be considered experts by others in the field.
• D)the courts and FTC will consider the totality of evidence concerning a claim, not just one particular study that may support a claim.

Understand the impact of working extra hours on salary versus hourly compensation.

Recognize the importance and frequency of updating W-4 forms.

Understand the purpose and usual amounts kept in petty cash accounts.

Identify which positions are typically compensated through commission.

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Definitions:

Journalize

Journalize is the act of recording business transactions in the accounting journals as part of the double-entry bookkeeping system, detailing debits and credits.

Journalize

The act of recording business transactions in the journal as part of the accounting process.

Merchandise Sold

Products that have been sold by a company, typically referring to goods rather than services.

Sales On Account

Transactions where goods or services are sold and delivered, but payment is agreed to be made at a later date.