Which of the Following Is True Regarding the Bailment Situation,or

question 25

Multiple Choice

Which of the following is true regarding the bailment situation,or lack thereof,existing between Donnie and Karen?

• A) It was a gratuitous bailment.
• B) It was a bailment for consideration.
• C) It was a temporary bailment.
• D) It was a constructive bailment.
• E) There was no bailment because no consideration was provided.

---

Definitions:

Operating Activities

Operating activities involve the primary revenue-generating activities of an organization, including production, sales, and delivery of the company’s product as well as administrative and general expenses.

Salaries Expense

The cost incurred by a business to pay its employees for services rendered during a specific period.

Unearned Revenues

Money received by a company for goods or services yet to be delivered or performed, recorded as a liability.

Operating Cash Payments

Cash outflows related to the primary revenue-generating activities of a business, such as payments to suppliers and employees.