M Company Should Include the Following Items in Its Merchandise

question 62

Multiple Choice

M Company should include the following items in its merchandise inventory:

• A) Goods purchased FOB destination still en route.
• B) Goods purchased FOB shipping point still en route.
• C) Goods sold by M Company FOB shipping point still en route.
• D) Goods held on consignment from the B Company to M Company.

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Definitions:

Economic Decisions

The choices made by individuals, households, or organizations regarding the allocation of resources and the distribution of goods and services.

Purposeful

Refers to actions undertaken with a specific goal or intention in mind.

Spontaneous

Occurring without external cause or premeditation, often resulting from a natural inclination or impulse.

Economic Generalization

Broad statements or principles about economic behavior that apply to different contexts and situations.