Logistics Company Had the Following Items Listed in Its Trial

question 20

Multiple Choice

Logistics Company had the following items listed in its trial balance at 12/31/09: Included in the checking account balance is $50,000 of restricted cash that Bank of the East requires as a compensating balance for the $300,000 note. What amount will Logistics include in its year-end balance sheet as cash and cash equivalents?

• A)$412,000.
• B)$462,000.
• C)$392,000.
• D)$442,000.

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Definitions:

Price Competition

A market strategy where businesses attempt to attract customers by undercutting competitors' prices.

Pure Competition

A market structure characterized by a large number of small firms, all producing homogeneous products, with no single company able to influence the market price.

Monopolistic Competition

A market structure characterized by many firms selling products that are similar but not identical, allowing for some degree of market power.

Marketing Tactic

A specific action or strategy employed to achieve a marketing strategy's objectives.