Distinguish Between Selective and Universal Programs and Policies

question 40

Essay

Distinguish between selective and universal programs and policies. Provide three examples of each type. Which type does the U.S. primarily use, and why?

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Definitions:

Merchandising Companies

Companies that purchase goods in a finished condition and resell them at a profit without further processing.

Operating Cycles

Operating cycles refer to the average period of time it takes for a business to convert its inventory to sales revenue and then to cash.

Profit Margins

A financial metric measuring the amount of net income generated as a percentage of revenue, reflecting the profitability of a business.

Perpetual Inventory System

A method of maintaining inventory records where updates are made continuously after each purchase or sale.