Which of the Following Situations Explains 'Primary Activities

question 17

Multiple Choice

Which of the following situations explains 'primary activities'? 

• A) Primary activities are those activities that are required to offer the company's value proposition to its customers. 
• B) Inbound logistics, operations and outbound logistics, 
• C) Marketing and sales and customer service activities. 
• D) All of the above.

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Definitions:

Accrual

A method in accounting that recognizes financial events by matching revenues with expenses at the time the transaction occurs, not when payment is made or received.

Supplies Expense

The cost associated with the consumable items used in the operation of a business, such as office supplies or cleaning materials.

Adjusting Journal Entry

An entry in accounting that is made at the end of an accounting period to record any unrecognized income or expense for the period.

Income Tax Expense

The cost incurred by businesses or individuals due to earnings, represented as an expense in financial statements and affecting net income.