Business Products Are Classified into the Following Seven Categories According

question 64

Multiple Choice

Business products are classified into the following seven categories according to characteristics and intended uses: raw materials, installations, accessory equipment, component parts, process materials, business services, and

• A) production activities.
• B) service assistance.
• C) specialty industrial products.
• D) computer programming and operation services.
• E) MRO supplies.

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Definitions:

Generally Accepted Accounting Principles

A set of accounting standards and practices that are used in a jurisdiction to ensure transparency, uniformity, and fairness in financial reporting.

International Financial Reporting Standards

A set of accounting standards developed by the International Accounting Standards Board, used globally to prepare public company financial statements.

Profitability Ratios

A group of ratios that show the combined effects of liquidity, asset management, and debt on operations.

Liquidity

The ease with which an asset can be converted into cash without affecting its market price.