It Is Illegal for Business to Price Discriminate When Selling

question 2

Multiple Choice

It is illegal for business to price discriminate when selling goods to other businesses unless

• A)Price discounts are cost-justified
• B)Discounts are offered to meet competitors' price
• C)Both a and b
• D)It is not illegal for businesses to price discriminate

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Definitions:

Modified Opinion

A type of audit opinion suggesting that the auditor has reservations about certain aspects of the company's financial statements.

Qualified Opinion

An auditor's opinion suggesting that the financial statements of a firm are fairly presented, except for a particular area or exception.

Adverse Opinion

An auditor's statement indicating that a company's financial statements are not presented fairly or in conformity with Generally Accepted Accounting Principles (GAAP).

Common Expenses

Recurring costs that are shared among entities within a business, typically for maintenance and administrative services.