Which of the Following Is Not a Difference Between a Retail

question 16

Multiple Choice

Which of the following is not a difference between a retail business and a service business?

• A) in what is sold
• B) the inclusion of gross profit on the income statement
• C) accounting equation
• D) merchandise inventory included on the balance sheet

---

Definitions:

Probability

The measure of the likelihood that an event will occur, often expressed as a number between 0 and 1, where 1 indicates certainty.

Premium

A premium refers to the additional amount paid for a product, service, or insurance policy over and above its basic cost.

Risk Reduction

Strategies or actions taken to decrease or mitigate the level of risk.

Expected Value

A statistical measure that calculates the average outcome of a random variable or process, factoring in all possible values and their probabilities.