Property, Plant, and Equipment and Intangible Assets Are

question 83

Multiple Choice

Property, plant, and equipment and intangible assets are:

• A) Created by the normal operation of the business and include accounts receivable.
• B) All assets except cash and cash equivalents.
• C) Current and long-term assets used in the production of either goods or services.
• D) Long-term revenue-producing assets.

---

Definitions:

Merchandise

Goods or products that are bought and sold in retail or wholesale in the business.

Sales Discounts

Reductions in the selling price offered to customers, often as an incentive to encourage prompt payment.

Cash Discount

A deduction from the total amount on an invoice allowed by a vendor to encourage prompt payment.

Accounts Receivable

The money owed to a business by its clients for goods or services delivered but not yet paid for.