Items That Are Expensive,durable,and Infrequently Purchased by Firms Producing Other

question 152

Multiple Choice

Items that are expensive,durable,and infrequently purchased by firms producing other goods or services are called ________.

• A) capital items
• B) impulse items
• C) expense items
• D) current expense goods
• E) fixed expense goods

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Definitions:

Assigned Contractual Rights

The transfer of one party's rights under a contract to another party, allowing the assignee to benefit from the contract.

Purchaser

An individual or entity that buys goods or services.

Quality of Goods

The degree to which goods meet the specified or implied criteria, often assessed in terms of durability, reliability, and performance.

Holder in Due Course

A party that has acquired a negotiable instrument in good faith and for value, and thus has certain protections against defenses and claims that could be asserted against the original payee.