Which of the Following Is Not an Example of Revolving

question 1

Multiple Choice

Which of the following is not an example of revolving credit?

• A)overdraft protection
• B)charge cards
• C)mortgage
• D)line of credit.
• E)bank card credit

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Definitions:

Inventories

The total amount of goods and materials held by a company for the purpose of resale or production.

Days In Inventory

A financial ratio indicating the average number of days the company takes to turn its inventory into sales.

Gross Profit

The difference between revenue generated from goods or services sold and the cost of those goods or services sold, not accounting for other operating expenses.

Beginning Inventory

The value of inventory held by a company at the start of an accounting period, used to calculate cost of goods sold during the period.