Which of the Following Conditions Is NOT a Prerequisite for the Existence

question 92

Multiple Choice

Which of the following conditions is NOT a prerequisite for the existence of an independent e-marketplace?

• A)thousands of geographically dispersed buyers and sellers
• B)volatile prices caused by demand and supply fluctuations
• C)stable prices caused by constant supply and demand
• D)easily comparable offerings between a variety of suppliers

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Definitions:

Accounting Equation

The fundamental principle of accounting that states Assets = Liabilities + Equity, which must always be in balance for accurate financial reporting.

Net Income

Net income is the total profit of a company after all expenses, including taxes and operational costs, are subtracted from its total revenue.

Total Liabilities

The sum of all financial obligations a company has to external parties, including both short-term and long-term debts.

Accounting Equation

The fundamental formula in accounting that states assets equal liabilities plus equity (Assets = Liabilities + Equity).