Companies Use Web Sites for Commerce for All of the Following

question 27

Multiple Choice

Companies use Web sites for commerce for all of the following reasons except:

• A)To reduce operational and transaction costs.
• B)To enhance their reputation.
• C)To sell goods and services.
• D)To reduce the amount of actual cash they need to deal with.
• E)To induce people to visit a physical location.

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Definitions:

Private Enterprises

Businesses that are owned by private individuals or groups and not publicly traded on a stock exchange, often subject to different regulatory and reporting requirements than public companies.

Disclosed Basis of Accounting

The accounting principles and policies a company openly reports in its financial statements.

GAAP

Generally Accepted Accounting Principles, a common set of accounting principles, standards, and procedures that companies must follow when they compile their financial statements in the U.S.

Fair Value

The price at which an asset would be exchanged between knowledgeable, willing parties in an arm's length transaction.