Which of the Following Is NOT a Business Transaction

question 152

Multiple Choice

Which of the following is NOT a business transaction?

• A)A company buys goods on account.
• B)A company sells land for cash.
• C)A company fired 10 percent of the employees due to lackluster sales.
• D)A company borrows money from the bank.

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Definitions:

Decision Making

The process of making choices by identifying a decision, gathering information, and assessing alternative resolutions.

Affect Heuristic

A mental shortcut used in decision making that involves relying on current emotions to evaluate the desirability and risks of different options.

Real Buying Power

The actual amount of goods and services that can be purchased with a unit of currency, taking into account inflation and other factors affecting price levels.

Short-Term Losses

Financial losses realized on the sale or exchange of assets held for a short period, typically less than one year.