A Computer Manufacturer Sells Computers and Monitors Separately

question 58

Multiple Choice

A computer manufacturer sells computers and monitors separately. This manufacturer also allows consumers to choose any type of computer and any type of monitor and sells the two components as a package. This manufacturer is engaging in a ____________ pricing strategy.

• A)tying
• B)third-degree
• C)mixed bundling
• D)first-degree

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Definitions:

Internal Controls

Systems and procedures implemented by a company to ensure the integrity of financial and accounting information.

Information Processing

The collection, manipulation, storage, retrieval, and classification of information.

Revenue Journal

An accounting ledger dedicated to recording sales transactions that generate revenue for a business.

Account

An accounting form that is used to record the increases and decreases in each financial statement item.