Which Is a Reason to Use the Net Method to Record

question 20

Multiple Choice

Which is a reason to use the net method to record purchase discounts?

• A)Cost-benefit factor is greater for the net method.
• B)Reporting "purchase discounts lost" signifies inefficient business practices.
• C)Given the materiality of the amounts involved,the net method is used.
• D)The net method is technically superior to the gross method.

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Definitions:

Texas

The second-largest state in the United States by both area and population, known for its significant historical events such as the Battle of the Alamo and rich cultural heritage.

Slavery Issue

The contentious debate over the moral, economic, and legal aspects of slavery, particularly in the United States before the Civil War.

Manifest Destiny

The 19th-century doctrine or belief that expansion of the US throughout the American continents was both justified and inevitable.

Mexican War

A conflict between the United States and Mexico from 1846 to 1848, resulting in the U.S. acquisition of territories in what are now the states of California, Nevada, Utah, Arizona, and New Mexico.