Whenever Additional Parties Are Included in Payment Card Transaction Processing

question 35

Multiple Choice

Whenever additional parties are included in payment card transaction processing, the system is called a(n) ____ system.

• A)open loop
• B)closed loop
• C)virtual loop
• D)indirect loop

---

Definitions:

Investing Activity

Financial actions involving the purchase and sale of long-term assets or investments outside of the core operations of a business.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset since its acquisition.

Operating Activities

Business activities related directly to the production and delivery of goods and services, generating revenue.

Indirect Method

An accounting technique used in cash flow statements to derive operating cash flow by adjusting net income for non-cash transactions and changes in working capital.