The Balance Sheet of a Service Company Has

question 70

Multiple Choice

The balance sheet of a service company has

• A)raw materials inventory.
• B)little or no inventory.
• C)three categories of inventory.
• D)two categories of inventory.

Understand the impact of different time frames (e.g., days, months) on interest calculations.

Understand and compute exact simple interest for loans using a 365-day year.

Understand and compute ordinary simple interest for loans using a 360-day year.

Calculate the total repayment amount (principal + interest) for short-term loans.