A Market

question 39

Multiple Choice

A market:

• A) is defined as a local market such as a farmers market .
• B) is any arrangement in which buyers and sellers determine the prices of goods and services exchanged.
• C) is a hypothetical arrangement in which buyers and sellers determine the prices of goods and services exchanged.
• D) can only be for goods but not for services.

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Definitions:

Cash Payment

A transaction in which a payment is made in the form of physical currency or through a digital mechanism but representing immediate transfer of funds.

Merchandise

Goods or products that are bought and sold by businesses in the course of their trade or business operations.

Sales Returns and Allowances

Transactions in which customers return damaged or unsatisfactory products for refunds or credit, and adjustments made to sales revenue for these returns or granted concessions.

Accounts Receivable

Outstanding payments from customers to a firm for delivered or utilized goods or services awaiting settlement.