Which of the Following Is True of Export Trading Companies

question 21

Multiple Choice

Which of the following is true of export trading companies in the United States?

• A)They are like independent distributors that match buyers with buyers.
• B)They are prohibited from working with a firm's competitors due to antitrust laws.
• C)They must be established independently of the company in order to avoid a conflict of interest.
• D)They have been a successful form of export intermediation in recent years.

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Definitions:

Deferral Method

An accounting technique that involves delaying the recognition of income or expenses until a later accounting period.

Unrestricted Contributions

Donations that can be used by the recipient for any purpose, without any constraints or designated restrictions by the donor.

NFP Accounting

Accounting practices specific to Not-For-Profit organizations, focusing on fund accounting, donor restrictions, and reporting financial performance in a manner distinct from profit-oriented businesses.

Capitalize

The act of recording a cost or expense on the balance sheet for purposes of delaying full recognition of the expense over time through depreciation or amortization.