Choose the Word or Phrase in [ ] Which Will

question 99

Short Answer

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-[HO-2 | HO-3] is an example of a named peril policy.

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Definitions:

Cost Of Merchandise Sold

The cost that is reported as an expense when merchandise is sold.

Gross Profit

The difference between sales revenue and the cost of goods sold, indicating the basic profitability of a company's core business activities.

Perpetual Inventory System

An accounting method that records the sale or purchase of inventory immediately through the use of computerized point-of-sale systems and enterprise asset management.

LIFO

"Last In, First Out," an inventory valuation method where the latest goods purchased are the first to be sold.