Hide and Seek Has Retail Outlets at Both Large Shopping

question 32

Multiple Choice

Hide and Seek has retail outlets at both large shopping centres and small plazas.Its accounting information system is able to track total revenues by store,by type of shopping centre,by size of store,by state and by region.This is an example of which feature of a good information accounting system?

• A)compatibility
• B)favourable cost-benefit relationship
• C)control
• D)flexibility

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Definitions:

Nontaxable Bids

Offers made for financial securities that are exempt from taxes.

Goodwill

An intangible asset that arises when a company acquires another company for a price higher than the fair market value of its net tangible assets.

Impairment Test

An accounting procedure used to determine if an asset's carrying value exceeds its recoverable amount, indicating if the asset is impaired and the loss that needs to be recognized.

Junk Bond Market

A segment of the financial market that deals with high-risk, high-yield bonds issued by corporations with lower credit ratings.